China's steel output saw a drop in August as prices of steel products have continued to fall, said the National Development and Reform Commission.

Crude steel production shed 1.7 percent year on year in August, contrasting with the 13.8-percent growth recorded during the same period of last year.

In August, the composite price index for China's domestic steel products averaged at 104.39 points, pulling back 7.64 points from the previous month and down 30.78 points from a year earlier.

In the first eight months, China produced 481.57 million tons of crude steel, up 2.3 percent year on year. The growth represented a retreat of 8.3 percentage points from the growth seen a year earlier.