In the past week, medium plate prices in the Chinese domestic market have indicated a slight increase. As of April 25, 2011, medium plate 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) |
Common carbon medium plate |
20 mm |
Q235 |
4,973 |
+10 |
762 |
+2 |
Low alloy medium plate |
20 mm |
Q345 |
5,080 |
+5 |
778 |
+1 |
Shipbuilding plate |
16 mm |
CCS A/B |
5,420 |
0 |
830 |
0 |
$1 = RMB 6.53
In the Shanghai market, local medium plate traders reported more shipments but added that overall demand was still weak. Local medium plate prices rose slightly following the price increases for hot rolled coil and rebar. As of today, 20 mm medium plate is offered at RMB 4,950-4,960/mt ($758-759/mt) in the Shanghai market.
In the Tianjin market, local traders increased their medium plate prices slightly following the uptrend in surrounding markets; however, the higher prices led to fewer transactions. Nevertheless, traders are not willing to cut their prices in order to shift inventories.
In the Lecong market, medium plate prices moved up slightly, with a moderate volume of deals being closed at the higher prices.
In addition, because severe electricity shortages are anticipated in China this summer and as coking coal prices are also going up, the cost of steelmaking in China is expected to move upward.
As of April 22, aggregate medium plate inventory in China amounted to 1,522,950 mt, down by 35,810 mt from April 15. Medium plate inventory in Shanghai on the same date was 373,920 mt, down 820 mt week on week.
Summing up, most traders are optimistic about the prospects for China's medium pate market and expect prices to continue to rise.