During the past week ending September 14, prices in the Chinese cold rolled coil (CRC) market have been characterized by slight fluctuations. As of September 14, the average cold rolled coil prices in the main markets in China are as follows:
Product name |
Specification |
Category |
Average price (RMB/mt) |
Weekly change (RMB/mt) |
Price ($/mt) |
Weekly change ($/mt) |
1.0 mm x 1,250 x C |
SPCC |
5,473 |
-14 |
857 |
-2 |
|
CRS |
1.0 mm x 1,250 x 2,500 |
SPCC |
5,550 |
+17 |
869 |
+3 |
As of September 14, the prices of ST12 1.0 mm x 1,250 mm x C cold rolled coil in the Shanghai, Tianjin and Lecong markets are respectively at RMB 5,500/mt ($861/mt), RMB 5,350/mt ($837/mt) and RMB 5,570/mt ($872/mt). Meanwhile, the sales prices of ST12 1.0 mm x 1,250 mm x 2,500 mm cold rolled coil in these markets are respectively at RMB 5,550/mt ($869/mt), RMB 5,450/mt ($853/mt) and RMB 5,650/mt ($884/mt). All the prices above include 17 percent VAT. ($1 = RMB 6.39)
In the given week, traders were not so pessimistic despite the slow activity in the Chinese cold rolled steel market. After China's Mid-Autumn Festival on September 12, major steel producers in China including Baosteel Group and WISCO both announced increases in their CRC prices for October shipment. However, these increases seem insufficient to give momentum to the market. During the week in question, market inventories have been replenished with new arrivals.
Some traders are still somewhat worried about the future prospects for the market. On the one hand, in the context of the government's tight monetary policies, market players are still facing great pressures with regard to cash availability. On the other hand, entering the traditional busy season, market demand has not yet been released in line with anticipations. Thus, overall transaction activity is still slow.
It is expected that in the coming week the Chinese CRC market will follow a sideway trend.