Mainstream ex-China steel plate offer prices from mills have mostly been heard at $525/mt FOB as of today, Monday, October 12, edging down by $2.5/mt on average week on week. But the reference deal prices have remained at the same level as before the holidays - at $510-515/mt FOB, to Southeast Asia, South America and the Middle East. Improved prices and demand in the domestic market in China have positively affected sentiment in the export market recently.
Currently, market players are still cautious as regards the future prospects for the steel plate market as the Covid-19 pandemic worldwide has begun to spread more rapidly, while they do not think there will be big declines in steel plate prices amid the good demand in the local market.
Following the long National Day holiday, rises in billet and HRC prices have exerted a positive impact on steel plate prices. Demand has been better, which has bolstered market sentiment. At the same time, inventory levels in the steel plate market have risen after the long holiday as supplies from steelmakers have been arriving gradually in the spot market.
Average Q235 20 mm steel plate spot prices in China have edged up by RMB 37/mt ($5.5/mt) week on week to RMB 3,983/mt ($594/mt) ex-warehouse, according to SteelOrbis’ information.
As of October 12, HRC futures at the Shanghai Futures Exchange are standing at RMB 3,795/mt ($566/mt), increasing by RMB 103/mt ($24/mt) or 2.8 percent since September 30.
$1 = RMB 6.7126
