Ex-China cold rolled coil (CRC) prices have remained relatively stable amid slow trade activity which has barely recovered after the Chinese New Year holiday and has been affected by increasing uncertainty around the market outlook amid the tariff threat from the US.
At present, export offers for CRC from China are in the range of around $550-560/mt FOB, for April shipment, moving sideways on average week on week. Meanwhile, the tradable levels for ex-China CRC have been heard at $540-550/mt FOB, the same as last week.
During the given week, CRC prices in the Chinese domestic market have decreased as demand from downstream users has not improved yet. Transaction activities have been relatively quiet, which has resulted in rises in inventory levels. However, major Chinese steelmakers, including Baosteel, Ansteel and Benxi Iron and Steel, have raised their local base prices for CRC for delivery in March by RMB 100/mt ($14/mt), which will positively affect market sentiments.
Average domestic 1.0 mm cold rolled coil spot prices in China are at RMB 3,827/mt ($534/mt) ex-warehouse, moving down by RMB 26/mt ($3.6/mt) compared to February 5, according to SteelOrbis’ information.
As of February 12, HRC futures at the Shanghai Futures Exchange are standing at RMB 3,415/mt ($476/mt), decreasing by RMB 1/mt ($0.14/mt) since February 5, while up 0.15 percent compared to the previous trading day, February 11.
$1 = RMB 7.1693
