Mainstream ex-China steel plate offer prices from mills have mostly been heard at $645-650/mt FOB for March shipment as of today, Monday, January 25, moving down by $2.5/mt on average week on week amid still slack demand in the local market.
The worsening Covid-19 pandemic in China and the closely approaching Chinese New Year holiday have negatively affected demand in the local market, while the rises in raw material prices and more maintenance works on the steelmakers’ side have provided some support for steel plate prices and prevented any further sharp drop.
Reference deal prices have been heard at $640-645/mt FOB to Southeast Asia and South America, moving down by $5/mt on average from the previous week.
During the given week, domestic steel plate prices in China have declined slightly amid the slack demand from downstream users as the Chinese New Year holiday (February 11-17) draws closer. Meanwhile, the inventory of steel plate has increased slightly, exerting a negative impact on prices. It is thought that steel plate prices in the Chinese domestic market will likely edge down in the coming week.
Average Q235 20 mm steel plate spot prices in China have lost RMB 20/mt ($3.1/mt) week on week to RMB 4,490/mt ($693/mt) ex-warehouse, according to SteelOrbis’ information.
As of January 25, HRC futures at the Shanghai Futures Exchange are standing at RMB 4,426/mt ($683/mt), decreasing by RMB 77/mt ($12/mt) or 1.7 percent since January 18.
$1 = RMB 6.4819
