In the past week, the Chinese hot rolled coil (HRC) market has moved sideways again, though with some fluctuations. The average HRC 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) |
HR |
5.75 mm x 1,500 mm |
Q235B |
4203 |
-17 |
665 |
-3 |
HR |
2.75 mm x 1,250 mm |
Q235B |
4420 |
-10 |
699 |
-2 |
As of November 8, the prices of Q235/S400 5.75 mm HRC in Shanghai, Tianjin and Lecong are respectively RMB 4,150/mt ($657/mt), RMB 4,210/mt ($666mt) and RMB 4,250/mt ($672/mt). For Q235 2.75 mm HRC, prices stand at RMB 4,370/mt ($691/mt), RMB 4,280/mt ($667/mt) and RMB 4,610/mt ($729/mt) in the abovementioned cities. All prices include 17 percent VAT ($1 = RMB 6.32).
In the Chinese HRC market, in the past week main market prices, affected by the situation in HRC futures market, have moved both upwards and downwards.
Some traders believe that recovery is likely to be seen at the end of this year, while others are not optimistic regarding the future of the market. The negative opinion prevails based on the following reasons: increasingly large inventory of the mills, the steel products rushing into southern market from north part of China, continuously increasing inventory for import iron ore and domestic iron ore prices moving sideways, and ongoing debt crisis in Europe.
Accordingly, a more positive environment has been observed in Chinese HRC market than before, however it is not strong enough to lead prices to surge.