Local Chinese scrap market impacted by softer steel prices

Tuesday, 02 September 2014 15:38:42 (GMT+3)   |   Shanghai
During the week ending September 2, prices in the main local steel scrap markets in China have continued their downward movement, while overall transaction activity has been at decent levels. Average scrap prices in the local Chinese market can be viewed in the SteelOrbis price reports section.

 

During the given week, prices of finished steel and semi-finished steel have continued to soften, dragging down scrap prices, while the lower scrap prices have provided some support for transaction activity in the scrap market. At the same time, certain electric arc furnace mills have been carrying out maintenance work and this has had some negative impact on demand for scrap. Traders are pessimistic on the future prospects for the market and so they have been inclined to cut their sales prices. Meanwhile, iron ore prices have continued to indicate a soft trend. It is expected that scrap prices in the Chinese domestic market will continue to follow a slight downtrend in the coming week.


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