China construction steel daily recap – September 16

China construction steel daily recap – September 16

Prices of several varieties of construction steel declined on Friday in China’s main markets. The transaction volume of HRB400 rebar in the Beijing market picked up slightly, but there was a noticeable lack of activity in the Shanghai and Guangzhou markets. The average price of HRB335 rebar in Beijing, Shanghai and Guangzhou market was unchanged from the previous day at RMB 3’187/ton (($393). HRB400 rebar saw its average price drop RMB 6/ton to RMB 3’327/ton ($410), while Q235 high-speed wire rod lost RMB 10/ton to finish the day at RMB3’263/ton ($402). For details, please see the following: Shanghai Construction steel prices in the Shanghai exhibited a minor decline. For second-rate brand names, the prevailing market price for 20mm diameter HRB335 rebar was down RMB 10/ton to RMB 3’090/ton ($381). 20mm diameter HRB400 rebar was unchanged at RMB 3’330/ton ($409), and 6.5mm Q235 high-speed wire rod held steady at RMB 3’320/ton ($409). HRB400 rebar prices were down by small amount. 22mm diameter rebar was in short supply, as were Ma Steel 12mm and 28-32mm diameter rebar. High-speed wire rod prices witnessed a minor decrease today, while prices for other varieties of wire rod held steady. Beijing Wire rod prices were down slightly, while the prices of HRB335 rebar were basically stable. HRB400 rebar price saw a minor decline amidst a good transaction situation. The prevailing market price of 20mm HRB335 rebar was RMB 3’100/ton (($382), which was equal to that of Thursday. 20mm diameter HRB400 rebar slid RMB 10/ton to RMB 3’250/ton, ($401), while 6.5mm Q235 high-speed wire rod was down RMB 20/ton at RMB 3’120/ton ($385). Traders’ price quotations of HRB335 rebar were equal to those of yesterday and the transaction volume picked up slightly. Currently, for HRB335 rebar, the price difference between Beijing and Guangzhou/ Shanghai is large. Some traders in Guangzhou went to Beijing to purchase their products. Clients elsewhere had an increasing demand for HRB335 rebar. HRB400 rebar prices saw a slight decline, while those of other specifications were basically stable. 28-32mm diameter rebar was in short supply with relatively high market prices. Q235 wire rod prices exhibited a minor decrease. Shougang will stop producing some of its products in Beijing. Its production capacity is gradually decreasing, especially for small diameter rebar. Guangzhou In the Guangzhou market, construction steel material prices continued to present a downward trend as few transactions were concluded. For second-rate brand names, the prevailing market price of 20mm HRB335 rebar was unchanged at RMB 3’360/ton ($414); 20mm HRB400 rebar was down RMB 10/ton at RMB 3’400/ton ($419); and Q235 high-speed wire rod was down RMB 10/ton at RMB 3’350/ton ($413). Today, leading traders continued to cut their prices for products with high price quotations. The price difference between steelmakers with high prices, such as Shaoguan Steel, and other steelmakers narrowed to RMB 30/ton. At one point, the difference had been as wide as RMB 100/ton. In addition, for some traders, the transaction volume of HRB335 rebar increased and prices were stable. Wire rod prices were stable as a whole. A batch of Shaoguan’s 6.5mm high-speed wire rod arrived in Guangzhou, alleviating the short supply. The prices for wire rod were down RMB 10/ton. For other brand names, high-speed wire rod prices were weak. Some traders decreased their prices by RMB 20/ton. During the last few days, prices showed a slight decline. Products with high prices showed a larger range of decrease. For different brand names, the price difference between HRB335 and HRB400 rebar narrowed. According to the Plans on Establishment of Guangdong Railway compiled by the Guangdong Development and Reform Commission, starting with 2005 and continuing until 2020, there will be nine projects in Guangdong Province. These nine projects cover 2’164 kilometers of rail and call for a combined investment of RMB 139 billion (17.1 billion). SteelOrbis Shanghai