During the week ending June 16, local steel scrap prices in the Chinese market have indicated declines in most regions, while transaction activity in the overall market has been at low levels. Average scrap prices in China's main markets are presented in the following table.
Since the steel industry in China has entered its traditional offseason amid rainy weather and high temperatures, consumption of scrap has become more sluggish. In this context, scrap traders have had to lower their offer prices, while the declines in finished steel prices have also exerted a negative impact on scrap prices. Meanwhile, the rebound of iron ore prices has showed signs of coming to an end, which may also affect scrap prices. It is expected that scrap prices in the Chinese domestic market will continue to move on a downward trend in the coming week.
Product Name | Spec. | Origin | Price (RMB/mt) | Price ($/mt) | Weekly Change (RMB/mt) |
HMS scrap | > 6 mm | Tianjin | 1,500 | 242 | ↓50 |
Liupanshui | 1,420 | 229 | ↓30 | ||
Zhangjiagang | 1,430 | 230 | ↓20 | ||
Handan | 1,480 | 238 | ↓50 | ||
Nanchang | 1,400 | 225 | ↓20 | ||
Anyang | 1,440 | 232 | ↓30 | ||
Jinan | 1,470 | 237 | ↓30 | ||
Average | 1,449 | 233 | ↓32 |
All prices include 17 percent VAT and all prices are ex-warehouse.
$1 = RMB 6.21