During the week ending September 5, cold rolled coil (CRC) prices in the Chinese market have trended down at a faster rate compared to the week before. Current offers in the market are characterized by a certain degree of disorder. Average CRC prices in the Chinese domestic market can be viewed in the SteelOrbis price reports section.
With Chinese steel futures prices fluctuating on a downward trend, spot prices of CRC products have also followed suit. Players in the market are increasingly tending to panic. With the downtrend in the CRC market picking up speed, traders have become more eager to attract new orders.
China's domestic economic situation continues to remain problematic, as reflected by the decline in the official purchasing managers index (PMI) for the country's manufacturing sector to 49.2 in August. Meanwhile, the oversupply issue in the CRC market also exerts pressure on spot prices. It is expected that prices in the Chinese CRC market will continue to drop down in the coming week.