According to the results of a survey conducted by China's National Development and Reform Commission (NDRC), in thirty provinces and cities in China covering the country's main steel markets, average steel prices have this week declined for a seventh consecutive week, but are still 13.5 percent higher compared to the corresponding week last year.
The average steel price this week stands at RMB 4,746/mt ($696/mt), down 1.45 percent week on week but up 13.50 percent year on year.
In particular, the average price of construction steel is RMB 4,252/mt ($623/mt), down 1.48 percent week on week and up 15.16 percent year on year; the average price of flat rolled products stands at RMB 5,072/mt ($744/mt), down 1.67 percent week on week and up 15.93 percent year on year; the average price of steel pipes is RMB 5,347/mt ($784/mt), down 1.55 percent week on week and up 7.92 percent year on year, while the average price of merchant bar stands at RMB 4,259/mt ($624/mt), down 1.03 percent week on week and up 12.16 percent year on year.
The NDRC ascribed the decline in average prices of steel products to several factors such as concerns about the economic environment, the slow activity in China's real estate industry, the export barriers established by certain countries including US, India and Canada, as well as the relatively high inventories of steel products in the markets.