Ex-China CRC prices have moved down compared to the previous week.
At present, export offers for CRC given by major Chinese mills are at $630-650/mt FOB for July shipment, decreasing by $20/mt compared to May 17.
The tradable level of ex-China CRC offer prices has been heard at $630/mt FOB, declining by $15/mt compared to May 17. “HRC futures prices moved on a sharply decreasing trend, exerting a negative impact on CRC market, while the demand for CRC has remained slack, weakening the support to its prices, and the decreasing iron ore prices also negatively affected CRC prices from cost side,” an international trader told SteelOrbis.
During the given week, CRC prices in the Chinese domestic market have moved down amid the decreasing HRC futures prices and the prevailing cautious sentiments among market players. Currently, downstream users mostly purchased for necessary need, while have been unwilling to build up high stocks. Traders chose to sell at lower prices against the pressures from financial side. It is expected that CRC prices in the Chinese domestic market will likely fluctuate within a limited range in the coming week.
Average domestic 1.0 mm cold rolled coil spot prices in China are at RMB 4,187/mt ($593/mt) ex-warehouse, declining by RMB 46/mt ($6.5/mt) compared to May 17, according to SteelOrbis’ information.
As of May 24, HRC futures at the Shanghai Futures Exchange are standing at RMB 3,551/mt ($503/mt), decreasing by RMB 224/mt ($32/mt) or up by 5.9 percent since May 17.
$1 = RMB 6.9748
