China's domestic section steel market has been following a stable trend during the past week, with players gradually leaving the market to go on holiday.
Product Name |
Specification |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
Angle |
50 mm x 50 mm x 5 m |
Q235 |
3,664 |
- |
537 |
- |
Channel |
160 mm x 65 mm x 8.5 m |
Q235 |
3,706 |
- |
543 |
- |
I-beam |
250 mm x 118 mm x 10 m |
Q235 |
3,784 |
- |
555 |
- |
At the start of the past week, China's domestic section steel market registered a minor rebound in purchasing activities, with a certain improvement observed in market trading compared with previous weeks. However, later in the week market activity became increasingly slack. With traders gradually leaving to start their holidays, section steel producers in Tangshan have in succession closed for business. Generally speaking, the market is currently characterized by an overall stagnation.
There is now tight availability of rail transportation in China as people seek to head back to their home regions for the Spring Festival. In this context, there has not been any obvious increase in market inventory due to the reduced volume of new arrivals. Nevertheless, the domestic section steel market still faces relatively strong inventory pressure, and so demand is expected to play a decisive role in the post-holiday market.
On the billet side, domestic billet prices in China have generally remained stable in the past week. At present the mainstream prices of 150 mm x 150 mm common carbon billet in Tangshan are at RMB 3,320-3,340 ($487-490/mt, tax included), with the prices excluding tax at RMB 3,230/mt ($474/mt); 165 mm x 165 mm common carbon billet in Tangshan is now offered at RMB 3,370/mt ($494/mt, tax included), while the prices of low-alloy billet stand at RMB 3,440/mt ($504/mt).
According to the latest data released by the National Bureau of Statistics, China's crude steel production totaled 567.84 million mt in 2009, up 67.53 million mt year on year. Meanwhile, the customs statistics showed that the country's exports of finished and semi-finished steels in 2009 amounted to 2.86 million mt, down 44.77 million mt year on year. China's apparent consumption of finished and semi-finished steels in the year in question came to 564.97 million mt, up 112.29 million mt or 24.8 percent year on year.