Chinese domestic steel section market continues to see slack activity

The Chinese domestic steel section market has moved on a decreasing trend during the past week.

In the Shanghai market, the price of 50 mm x 50 mm x 5 m steel angles is now at $427/mt. The same product is sold at $353/mt in the Tangshan market and at $416/mt in the Guangzhou market. Meanwhile, prices of 160 mm x 65 mm x 8.5 mm steel channels stand at $411/mt in the Shanghai market, at $343/mt in Tangshan and at $445/mt in the Guangzhou market. In the Shanghai, Tangshan and Guangzhou markets, 250 mm x 118 mm x 10 m I-beam prices stand respectively at $403/mt, $356/mt and $422/mt. The prices are all ex-mill, including 17 percent VAT. Steel section prices in the Chinese domestic market can be viewed in the table below.

As for billet, prices in the Chinese domestic market have declined significantly in the past seven days. In Tangshan, the current price of Q235 150 x 150 mm square billet is at RMB 1,920/mt ($294/mt), the price of 165 x 225 mm rectangular billet stands at RMB 1,950/mt ($299/mt), while the price of 20MnSi billet is at around RMB 2,040/mt ($313/mt). The prices are all ex-mill, including 17 percent VAT.
 
The local Chinese steel section market has continued its downward movement during the past week amid the ongoing weakness of trading activity and due to the declines seen in billet prices. It is believed that further decreases will be observed in domestic steel section prices in the week ahead due to the same reasons.

$1 = RMB 6.52