Chinese domestic steel section market mostly moves in downward direction

The Chinese domestic steel section market has mostly followed a downward 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 $527/mt (RMB 3,590/mt). The same product is sold at $514/mt (RMB 3,500/mt) in the Tangshan market and at $577/mt (RMB 3,930/mt) in the Guangzhou market. Meanwhile, prices of 160 mm x 65 mm x 8.5 mm steel channels stand at $515/mt (RMB 3,510/mt) in the Shanghai market, at $482/mt (RMB 3,280/mt) in Tangshan and at $587/mt (RMB 4,000/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 $512/mt (RMB 3,490/mt), $488/mt (RMB 3,320/mt) and $595/mt (RMB 4,050/mt). The prices are all ex-mill, including 17 percent VAT. Steel section prices in the Chinese domestic market can be viewed in the SteelOrbis price reports section.
 
As for billet, prices in the Chinese domestic market have been moving on a soft trend. In Tangshan, the current price of Q235 150 x 150 mm square billet is at RMB 3,030/mt ($445/mt), the price of 165 x 225 mm rectangular billet stands at RMB 3,050/mt ($448/mt), while the price of 20MnSi billet is at around RMB 3,130/mt ($460/mt). The prices are all ex-mill, including 17 percent VAT.

Chinese domestic steel section prices have mostly fluctuated on a downward trend during the past week, though prices of certain products have rebounded slightly due to low inventory. Overall trading activity in the market is still at low levels, while the soft trend of most market prices has been mainly due to the declines seen in billet prices and in the futures market. As for the coming week, production volumes will increase due to the end of recent environmental inspections, though demand may remain weak due to hot or rainy weather conditions. Accordingly, domestic steel section prices may continue to move on a soft trend.

$1 = RMB 6.81