During the week ending March 28, average hot rolled coil (HRC) prices in the Chinese domestic market have indicated a declining trend, while transaction activity in the overall market has been slacker than in the previous week and is now at low-to-medium levels. Average HRC prices in the local Chinese market are presented in the following table.
During the given week, ferrous metal futures prices in China have declined significantly, resulting in weak sentiment in the Chinese domestic HRC market and exerting negative pressure on HRC prices. Meanwhile, most traders are maintaining a wait-and-see stance as regards making purchases, contributing to the slackness of transaction activity. Although inventory levels of HRC in the spot market have declined somewhat compared to the previous week, they are still at relatively high levels. As for the current week, liquidity is expected to be tighter approaching the end of the month, while it is thought that HRC prices in the Chinese domestic market will likely move down further in the week ahead.
Product Name | Spec. | Quality | City | Steel Plant/Origin | Price (RMB/mt) | Price ($/mt) | Weekly Change (RMB/mt) |
Medium HRC | 5.75 mm x 1,500 mm x C | Q235B/SS400 | Shanghai | Ansteel | 3,310 | 481 | ↓310 |
Tianjin | Ansteel | 3,330 | 484 | ↓310 | |||
Lecong | Liuzhou Steel | 3,510 | 510 | ↓220 | |||
Average | - | 3,383 | 492 | ↓280 | |||
Thin HRC | 2.75 mm x 1.,250 mm x C | Q235B | Shanghai | Ansteel | 3,550 | 516 | ↓280 |
Tianjin | Tangshan Steel | 3,420 | 497 | ↓290 | |||
Lecong | Lianyuan Steel | 3,600 | 523 | ↓190 | |||
Average | - | 3,523 | 512 | ↓253 |
17 percent VAT is included in all prices and all prices are ex-warehouse.
$1 = RMB 6.88