During the week ending March 20, average cold rolled coil (CRC) prices in the Chinese domestic market have moved up, while transaction activity in the overall market has been at medium levels. Average cold rolled product prices in the local Chinese market are presented in the following table.
During the given week, Chinese premier Li Keqiang has announced that the value-added tax rate of 16 percent in manufacturing and other industries will be reduced to 13 percent as of April 1. Accordingly, the costs of steel production will be lowered, which will reduce support for steel prices to some extent, while the burden on producers will be eased at the same time. Ferrous metal futures prices in China have moved up during the given week, bolstering CRC prices in the domestic market. Sentiment is upbeat in the CRC market as demand is foreseen to improve. It is thought that CRC prices in the Chinese domestic market will likely increase further in the coming week.
|
Product name |
Spec. |
Quality |
City |
Steel plant/origin |
Price (RMB/mt) |
Price ($/mt) |
Change (RMB/mt) |
|
Thin CRC |
1.0 mm x 1,250 mm x C |
ST12 |
Shanghai |
MaSteel |
4,410 |
658 |
↑50 |
|
Tianjin |
Tangshan Steel |
4,310 |
643 |
↑30 |
|||
|
Lecong |
MaSteel |
4,440 |
663 |
↑40 |
|||
|
Average |
- |
4,387 |
655 |
↑40 |
|||
|
Thin CRS |
1.0 mm x 1,250mm x 2,500 mm |
ST12 |
Shanghai |
Anshan Steel |
4,520 |
675 |
↑40 |
|
Tianjin |
Anshan Steel |
4,500 |
672 |
↑30 |
|||
|
Lecong |
Anshan Steel |
4,660 |
696 |
↑40 |
|||
|
Average |
- |
4,560 |
681 |
↑37 |
16 percent VAT is included in all prices and all prices are ex-warehouse.
$1 = 6.70 RMB