Over the past week Chinese domestic medium plate market prices have risen but have not been able to follow the pace of the increases in ex-factory prices. As a result, current prices in the Chinese medium plate market are lower than the ex-factory prices from domestic producers. Meanwhile, the volume of transactions is on the weak side, as players adopt a wait-and-see approach to the market.
Product Name | Specification | Category | Average Price (RMB/mt) | Weekly change (RMB/mt) | Price ($/mt) | Weekly change ($/mt) |
Common carbon medium plate | 20 mm | Q235 | 4,807 | +17 | 705 | +2 |
Low alloy medium plate | 20 mm | Q345 | 4,910 | +85 | 720 | +12 |
Shipbuilding plate | 16 mm | CCS A/B | 5,103 | +67 | 748 | +10 |
Some steel mills have announced their price policies for May. Baosteel has raised its price of wide plate by RMB 400-500/mt ($59-73/mt), while its shipbuilding plate price is up by RMB 400/mt ($59/mt). Liaoning Province-based Anshan Iron and Steel's price of common carbon medium plate for May stands at RMB 4,914/mt (excluding tax), which is much higher than the current market price. Looking at the present situation, ex-factory prices from most mills for May are indicating a rising trend, though it is not clear whether market prices will maintain their uptrend given the weak volume of transactions in the market.
At present, supplies of medium plate in China's domestic market are at sufficient levels. Even though the steel futures exchange in China has fallen significantly in recent days and though the uptrend in domestic medium plate market prices has slowed, there does not appear to be room for significant downward adjustments in the current market.
On the export side, the current export price of medium plate is basically at the same level as in the previous week, standing at $700/mt FOB. Both domestic trade and foreign trade face uncertainty in the coming period.