Ex-China CRC prices have moved sideways compared to the previous week given mixed sentiments in the market as, while local CRC prices and HRC futures prices have increased this week, sluggish demand due to high temperatures has remained an issue.
At present, export offers for CRC given by major Chinese mills are at $620-625/mt FOB for September shipment, moving sideways compared to July 12. Meanwhile, the tradable level of ex-China CRC offer prices has been heard at $615-620/mt FOB, remaining stable compared to July 12.
“Sluggish demand has negatively affected CRC prices, while increasing iron ore prices have bolstered the CRC market,” an international trader told SteelOrbis.
During the given week, CRC prices in the Chinese domestic market have edged up amid the rebounding trend of HRC futures prices. However, the traditional hot summer offseason is exerting a negative impact on demand for CRC. Cautious sentiments have prevailed among market players, though import iron ore prices have moved up in the given week, providing support for CRC prices from the cost side.
Average domestic 1.0 mm cold rolled coil spot prices in China are at RMB 4,250/mt ($585/mt) ex-warehouse, rising by RMB 47/mt ($6.6/mt) compared to July 12, according to SteelOrbis’ information.
As of July 19, HRC futures at the Shanghai Futures Exchange are standing at RMB 3,843/mt ($537.5/mt), increasing by RMB 24/mt ($3.4/mt) or up by 0.6 percent since July 12.
$1 = RMB 7.1486
