China construction steel daily – September 12

China construction steel daily – September 12

Wire rod prices in the Beijing market continued to present a downward trend over the weekend. Upon opening today (September 12), prices continuously decreased. The price difference between September 9 and September 12 was RMB 80/ton. Rebar prices also further decreased. Prices in the Guangzhou market slightly decreased. Price quotations in Shanghai were equal to those of September 9, while the actual deal price of HRB335 rebar price was weak. The average price of HRB335 rebar in Beijing, Shanghai and Guangzhou market was RMB 3'243/ton ($400), down RMB 20/ton ($2) from that of the last trading day. The average price of HRB400 rebar fell RMB 10/ton ($1) to RMB 3'363/ton ($415), while that of Q235 high-speed wire rod price slipped RMB 26/ton ($3) to RMB 3'293/ton ($406). For details, please see the following: Shanghai Construction steel material prices were basically stable. The actual deal price of HRB335 rebar was weak, and the market situation was not brisk as a whole. For second-rate brand names, the prevailing market price for 20mm diameter HRB335 rebar was RMB 3'120/ton ($385); for 20mm diameter HRB400 rebar, RMB 3'350/ton ($413); and for 6.5mm Q235 high-speed wire rod, RMB 3'320/ton ($409). The above-mentioned prices were stable. Recently, HRB335 rebar from Hubao was produced in small quantity. Price quotations from Hubao's leading traders were high on the last business day. However, the traders reduced their prices upon opening today (September 12). Even then, the prices were still RMB10-20/ton ($1-2) higher than those of other brand names. It was reported that some traders sold 22mm diameter products from Shente at a low price. The prevailing deal price of HRB400 rebar was relatively stable and wire rod prices remained constant. There was little demand due to the typhoon. Beijing Wire rod prices slid while rebar prices showed a slight decline. The prevailing market price of 6.5mm Q235 high-speed wire rod was RMB 3'200/ton ($395), down RMB 80/ton ($10). 20mm HRB335 rebar price fell RMB 20/ton ($2) to RMB 3'220/ton ($397), while 20mm HRB400 rebar was down RMB 10/ton ($1) at RMB 3'320/ton ($409). The price of small diameter rebar showed an obvious decline today (September12). Prices of 28-32mm diameter rebar were strong, but remained unchanged. It was reported that steelmakers have been producing mainly large diameter rebar as of late. This has led to high inventory levels and subsequent price declines. Now, the demand for large diameter rebar is increasing gradually and steelmakers are decreasing their output. The 28mm-32mm diameter rebar price was RMB 20/ton ($2) higher than that of 20mm diameter rebar. HRB400 rebar prices showed a slight decline of RMB 20/ton ($2). Prices of Q235 wire rod plummeted RMB 80/ton ($10) over the past few days. There was an excess of 8mm diameter wire rod in the market, and its price was RMB 20/ton ($2) lower than that of 6.5mm. According to insiders, there were many transactions concluded over the weekend, but today's market was not brisk. As known by the market, Shougang stopped producing 6.5mm wire rod in May 2005. The current wire rod specification in the market produced by Shougang is 8mm diameter and above. Guangzhou Rebar prices in the Guangzhou market continued to decrease slightly. Wire rod prices were stable. For some steelmakers, more specifications were in short supply. For second-rate brand names, the prevailing market price of 20mm diameter HRB335 rebar was RMB 3'380/ton ($417), down RMB 20/ton ($2) compared to the previous trading day. 20mm HRB400 rebar lost RMB 10/ton to settle at RMB 3'430/ton ($423), while Q235 high-speed wire rod remained steady at RMB 3'360/ton ($414). Leading traders quoted their prices late. A majority of traders decreased their HRB335 rebar prices by RMB 20/ton. Products of Tangshan Steel were still in short supply, and some traders even indicated that they had no products of Tangshan Steel. There was no newly arrived HRB400 rebar product from Tangshan Steel. 12-16mm and 25mm rebar were in short supply. There was no newly arrived HRB400 rebar product from Shaoguan Steel, either. Wire rod prices were basically stable. 6.5mm high-speed wire rod was in short supply. Pingxiang and Shaoguan Steel's 6.5mm products were in small quantities. According to some traders, there will be a batch of 6.5mm high-speed wire rod arriving in Guangzhou soon. SteelOrbis Shanghai Office