Demand slackens in local Chinese rebar and wire rod market due to G20 Summit

Monday, 05 September 2016 17:47:40 (GMT+3)   |   Shanghai
       

During the week ending September 5, Chinese domestic rebar prices have softened slightly in Guangzhou, though remaining stable in other regions, while domestic wire rod prices have mostly moved up slightly, though remaining stable in Guangzhou. Transaction activity in the domestic rebar and wire rod market is still at low levels. On September 5, rebar futures contract (1701) offers closed at RMB 2,436/mt ($365/mt) at Shanghai Futures Exchange, down $6/mt week on week. Average domestic rebar and wire rod prices in China's main markets are presented in the tables below.

During the given week, due to environmental protection measures around the period of the G20 Summit in Hangzhou, steelmakers and traders have increased their offer prices for rebar and wire rod. Meanwhile, as construction sites have halted activities in the provinces of Jiangsu, Zhejiang and Anhui as well as in Shanghai against the backdrop of the summit, demand for long steel has been weak, resulting in a wait-and-see stance among traders. However, since September is traditionally the peak season for market activity, demand will likely improve. It is thought that rebar and wire rod prices in the Chinese domestic market will move sideways in the coming week. 

Wire rod prices in local Chinese market 
 
Product name Spec. Category City  Steel plant/origin Price (RMB/mt) Price ($/mt) Weekly change (RMB/mt)
Wire Rod 8 mm dia. Q235 Shanghai Pingxiang 2,720 407 ↑20
Beijing Hebei Steel 2,720 407 ↑40
Guangzhou Shaoguan Steel 2,670 400 0
Average - 2,704 405 ↑21
Wire Rod 6.5 mm dia. Q235 Shanghai Pingxiang 2,720 407 ↑20
Beijing Hebei Steel 2,720 407 ↑40
Guangzhou Shaoguan Steel 2,700 404 0
Average - 2,714 406 ↑21
 
All prices include 17 percent VAT and all prices are ex-warehouse
 
Rebar prices in local Chinese market 
 
Product name Spec. Category City  Steel plant/origin Price (RMB/mt) Price ($/mt) Weekly change (RMB/mt)
HRB400 Rebar 20 mm dia. HRB400 Shanghai Pingxiang 2,500 374 0
Beijing Hebei Steel 2,470 370 0
Guangzhou Shaoguan Steel 2,730 409 ↓20
Average 2,567 384 ↓6
 
All prices include 17 percent
 
$1 = RMB 6.68


Similar articles

Wire rod prices in Taiwanese domestic market - week 13, 2024

29 Mar | Longs and Billet

Domestic rebar prices in Taiwan - week 13, 2024

29 Mar | Longs and Billet

US domestic wire rod prices still soft

28 Mar | Longs and Billet

Wire rod consumption in Mexico increases 6.5 percent in January

28 Mar | Steel News

US drawn wire exports up 40.1 percent in January

28 Mar | Steel News

Import longs offers in Romania now attractive, local prices stable

28 Mar | Longs and Billet

UAE-based ESA cuts wire rod prices for April despite better demand

28 Mar | Longs and Billet

Turkish domestic dollar-based rebar spot prices soften

28 Mar | Longs and Billet

Asian wire rod market tumbles amid pessimism in China

28 Mar | Longs and Billet

Major steel and raw material futures prices in China - March 28, 2024

28 Mar | Longs and Billet