Ex-China CRC prices have continued their downtrend over the past week even despite some improvement in futures prices. Weak demand has continued to put pressure on CRC prices.
At present, export offers for CRC given by major Chinese mills are at $590/mt FOB for January shipment, moving down by $7.5/mt compared to November 2.
The tradable level of ex-China CRC offer prices has been at $580-595/mt FOB, moving down from $590-600/mt FOB week on week.
“Though HRC futures prices and CRC prices in the local market have moved up over the past week, the sluggish demand in most destinations has exerted a negative impact on ex-China CRC prices,” an international trader told SteelOrbis.
During the given week, CRC prices in the Chinese domestic market have indicated a rebounding trend amid increasing HRC futures prices and the improved sentiments among market players. However, the inventory levels of CRC have risen, which will exert a negative impact on prices in the future. 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 4,266/mt ($591/mt) ex-warehouse, moving up by RMB 50/mt ($7.0/mt) compared to November 2, according to SteelOrbis’ information.
As of November 9, HRC futures at the Shanghai Futures Exchange are standing at RMB 3,686/mt ($510.5/mt), rising by RMB120/mt ($16.6/mt) or 3.4 percent sinceNovember 2.
$1 = RMB 7.2190
