Average scrap prices in the Chinese domestic market have seen slight rises compared to the previous week amid increasing ferrous metal futures prices and the uptrends in import iron ore prices and coke prices.
Average domestic HMS scrap prices in China are at RMB 2,652/mt ex-warehouse, increasing by RMB 19/mt on average compared to previous week, according to SteelOrbis’ information.
Average scrap prices in China’s main markets are presented in the following table:
|
Product name |
Specification |
Origin |
Price |
Price |
Weekly change |
Weekly change |
|
HMS |
> 6 mm |
Tianjin |
2,760 |
387.2 |
0 |
+0.7 |
|
Liupanshui, Guizhou |
2,555 |
358.4 |
+55 |
+8.4 |
||
|
Nanchang, Jiangxi |
2,575 |
361.3 |
+10 |
+2.1 |
||
|
Handan, Hebei |
2,760 |
387.2 |
+50 |
+7.7 |
||
|
Anyang, Henan |
2,680 |
376.0 |
+20 |
+3.5 |
||
|
Zhangjiagang, Jiangsu |
2,660 |
373.2 |
0 |
+0.7 |
||
|
Jinan, Shandong |
2,575 |
361.3 |
0 |
+0.7 |
||
|
Average |
2,652 |
372.1 |
+19 |
+3.4 |
||
|
Note: Prices include 3 percent VAT as of March 1 2022. |
||||||
During the given week, scrap prices in the Chinese domestic market have indicated slight increases amid relatively low inventory levels and insufficient supplies arriving in the market. At the same time, market sentiments have improved as Chinese policymakers have issued policies to boost the real estate sector, which have also bolstered the scrap market. Moreover, scrap supply is tight, also exerting a positive impact on prices. However, the floods in northern China over the past few days caused by typhoon Doksuri may negatively affect the scrap market. It is thought that scrap prices in the Chinese domestic market will likely move sideways in the coming week.
The tradable level for ex-Japan HS scrap in China has remained at $380-385/mt CFR and the last sellers’ trades for this grade were at $399/mt CFR for South Korea.
$1 = RMB 7.1368