Decreasing domestic finished steel prices have exerted a negative influence on scrap prices in China, with steel mills pushing for lower scrap prices. It is expected that Chinese scrap prices will continue to trend downward in the coming seven days.
Chinese scrap market softens amid weaker steel prices
In the past week, the Chinese steel scrap market has trended downward, especially in southern China. As of May 16, average heavy melting scrap (HMS) prices in major markets stand at RMB 3,283/mt ($520/mt), down $14/mt compared with the previous week. Local steel scrap prices in China can be viewed in the SteelOrbis price reports section.