Ex-China cold rolled coil (CRC) prices have edged up slightly over the past week amid the rises seen in HRC futures prices and modest gains in local CRC prices.
More specifically, ex-China CRC offer prices from mills have been at $530-555/mt FOB this week, edging up by $2.5/mt on average week on week, while the tradable levels for ex-China CRC have been heard at 520-535/mt FOB, versus $520-530/mt FOB last week, though occasional discounted deals for non-VAT coils have been voiced at around $515-520/mt FOB level.
During the given period, HRC futures prices have increased, exerting a positive impact on market sentiments. Demand for CRC from downstream users has been quite good, bolstering prices to a certain degree. However, a wave of cold weather has hit China, which may negatively affect demand for CRC and weaken its prices. It is expected that CRC prices in the Chinese domestic market will move sideways in the coming week.
Average domestic 1.0 mm cold rolled coil spot prices in China are at RMB 3,537/mt ($498/mt) ex-warehouse, increasing by RMB 10/mt ($1.4/mt) week on week, according to SteelOrbis’ information.
As of November 19, HRC futures at Shanghai Futures Exchange are standing at RMB 3,277/mt ($461.5/mt), increasing by RMB 22/mt ($3.1/mt) or 0.7 percent since November 12, while decreasing by 0.18 percent compared to the previous trading day, November 18.
$1 = RMB 7.0872
