According to data released by the China Iron and Steel Association (CISA) on December 17, as of the end of November (November 30) the composite steel price index (CSPI) for the Chinese domestic market was at 85.29 points, down 1.11 points or 1.28 percent month on month, with the temporary uptrend seen in the previous month switching to downward movement again, while the index decreased by 14.04 points or 14.13 percent year on year.
At the end of November, the CSPI long steel index was at 86.09 points, down 1.27 points or 1.45 percent month on month and decreasing by 16.32 points or 15.94 percent year on year, while the CSPI flat steel index stood at 86.11 points, down 0.90 points or 1.03 percent month on month and declining by 11.84 points or 12.09 percent year on year.
During November, among the eight main steel products monitored by the CISA, prices of wire rod and rebar indicated a decrease after the increase recorded in October, declining by RMB 46/mt ($7.5/mt) and RMB 51/mt ($8.3/mt) respectively. During the month of November, prices of angles, medium plate, hot rolled coil (HRC), cold rolled sheet (CRS), hot dip galvanized (HDG) and seamless pipe indicated decreases of RMB 38/mt ($6.2/mt), RMB 49/mt ($8.0/mt), RMB 46/mt ($7.5/mt), RMB 34/mt ($5.5/mt), RMB 35/mt ($5.7/mt) and RMB 49/mt ($8.0/mt), respectively.
During November, the CSPI indicated a gradual declining trend, while continuing its slight downtrend in the first and second week of December. As of the end of the second week of December, the CSPI had dropped to 84.48 points. Although finished steel prices had indicated a short-lived rising trend in October, supported by production halts during the Asia Pacific Economic Cooperation (APEC) meeting in Beijing, finished steel prices lacked the momentum for further upward movement in November and December due to the oversupply situation in the Chinese market.