Ex-China CRC prices have moved up over the past week amid the increasing trends in the local market and in HRC futures prices.
At present, export offers for CRC given by major Chinese mills are at $950-960/mt FOB for June shipment, moving up by $15/mt compared to March 23.
The tradable level of ex-China CRC offer prices has been at $940-950/mt FOB.
“The rising HRC futures prices have bolstered market players’ sentiments, while the increasing iron ore prices have also positively affected CRC prices, and the strict coronavirus control measures have exerted a negative impact on the circulation of supplies, which will continue to bolster CRC prices,” an international trader told SteelOrbis.
During the given week, local CRC prices have indicated slight rises amid declining outputs and inventory levels. HRC futures prices have edged up too over the past week, exerting a positive impact on CRC prices. Currently, the circulation of CRC supplies has been negatively affected due to the strict control measures against the worsening of the Covid-19 pandemic in many regions of China. Demand for CRC has gradually improved, which will bolster prices. It is thought that CRC prices in the Chinese domestic market will likely edge up in the coming week.
Average domestic 1.0 mm cold rolled coil spot prices in China are at RMB 5,580/mt ($878/mt) ex-warehouse, edging up by RMB 34/mt ($5.3/mt) compared to March 23, according to SteelOrbis’ information.
As of March 30, HRC futures at the Shanghai Futures Exchange are standing at RMB 5,264/mt ($828/mt), rising by RMB 75/mt ($11.8/mt) or 1.45 percent since March 23.
$1 = RMB 6.3566