Chinese domestic steel section market moves on soft trend

Chinese domestic steel section prices have indicated 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 $425/mt. The same product is sold at $386/mt in the Tangshan market and at $452/mt in the Guangzhou market. Meanwhile, prices of 160 mm x 65 mm x 8.5 mm steel channels stand at $417/mt in the Shanghai market, at $397/mt in Tangshan and at $473/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 $434/mt, $420/mt and $506/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 softened in the past seven days. In Tangshan, the current price of Q235 150 x 150 mm square billet is at RMB 2,240/mt ($350/mt), the price of 165 x 225 mm rectangular billet stands at RMB 2,270/mt ($355/mt), while the price of 20MnSi billet is at around RMB 2,360/mt ($369/mt). The prices are all ex-mill, including 17 percent VAT.

 

The downward trend in the local Chinese steel section market in the past week has been due to the corrections seen in billet prices as well as the low levels of activity in the market, with, traders choosing to reduce their prices after the increases recorded in previous weeks. Supply volumes have started to increase but market inventories are still low, which may provide a certain degree of support for market prices. As for the coming week, it is believed that domestic steel section prices in China may follow a slightly soft trend. 

 

$1 = RMB 6.68