During the past week the Chinese cold rolled coil market (CRC) market registered some upticks in prices, while traders hold diverse expectations as regards the future.
Product name | Specification | Category | Average price (RMB/mt) | Weekly change (RMB/mt) | Price ($/mt) | Weekly change ($/mt) |
1.0 mm × 1,250 × C | SPCC | 5,300 | +20 | 796 | +3 | |
CRS | 1.0 mm × 1,250 × 2,500 | SPCC | 5,397 | +20 | 810 | +3 |
On October 13, prices of ST12 1.0 mm × 1,250 mm × C CRC stand at RMB 5,250/mt ($788/mt), RMB 5,300/mt ($796/mt) and RMB 5,350/mt ($803/mt) respectively in the Shanghai, Tianjin and Lecong markets. In addition, prices of ST12 1.0 mm × 1,250 mm × 2,500 mm CRS stand at RMB 5,290/mt ($794/mt), RMB 5,400/mt ($811/mt) and RMB 5,500/mt ($826/mt) respectively in the Shanghai, Tianjin and Lecong markets. All the above prices include 17 percent VAT (US$1 = RMB 6.66).
CRC market prices were on a strong uptrend in Shanghai over the past week. The market transaction volume in Shanghai was good and CRC prices from small and medium sized mills increased quickly. Some traders in the Shanghai market are optimistic about the future and are hoping for more price upticks. In the Lecong market, CRC inventory has been rising, with new supplies continuing to arrive in the market. Lecong traders are still cautious about the prospects for the market because of the unclear demand situation, and so they are reluctant to increase prices.
In general, inventory in the main CRC markets in China has increased. On October 8, aggregate CRC inventory in the main Chinese cities was 1.40183 million mt, up 24,730 mt week on week. The region with the greatest increase was eastern China market. Inventory in Shanghai was 470,130 mt, up 4,630 mt week on week.
Baosteel announced its prices for November delivery on October 12, maintaining its HRC and CRC prices unchanged.
As regards the coming week, it is expected that Chinese CRC prices will trend sideways.