During the week ending May 21, the Chinese domestic cold rolled coil (CRC) market has continued to see an overall slight downtrend, while transaction activity has remained at low levels. Average CRC prices in the local Chinese market can be viewed in the SteelOrbis price reports section.
Recently, supplies to the domestic CRC spot market, especially in Shanghai, have been at high levels. In this context, traders are seeking to sell off materials in order to reduce their inventory levels and bring in cash. However, consumption of traders' inventories remains slow. Meanwhile, with the weather becoming hotter and hotter, demand from downstream industries is expected to slacken. Moreover, the main domestic steelmakers have reduced their CRC prices for June shipment, dampening any expectations for an improvement in the price trend. It is expected that CRC prices in the Chinese domestic market will indicate a slight downward movement in the coming week.