Following the sharp drop in HRC futures prices last week, this week has started with better sentiments, with futures prices showing a slight rebound, though most export offers for steel plates from Chinese suppliers have moved sideways over the past week.
Mainstream ex-China steel plate offer prices from mills have been heard at $475-485/mt FOB for June shipment as of today, Monday, April 14, remaining stable on average as compared to April 7. The reference deal prices have been heard at $475-480/mt FOB to South America, Africa and the Middle East, also moving sideways on average compared to April 7.
During the given week, steel plate prices in the Chinese domestic market have seen slight declines amid steady production capacity utilization rates. Some specifications of steel plate have been in short supply, bolstering prices to a certain degree. However, demand from downstream users has not been as good as market players had expected for the traditional peak season. Moreover, the tariff issue between the US and China has negatively affected market sentiments. It is thought that steel plate prices in the Chinese domestic market will fluctuate within a limited range in the coming week.
Average Q235 20 mm steel plate spot prices in China have lost RMB 4/mt ($0.56/mt) compared to April 7, standing at RMB 3,533/mt ($491/mt) ex-warehouse, according to SteelOrbis’ information.
As of April 14, HRC futures at Shanghai Futures Exchange are standing at RMB 3,242/mt ($450/mt), decreasing by RMB 19/mt ($2.6/mt) or 0.6 percent since April 7, while up 0.22 percent compared to the previous trading day, April 11.
$1 = RMB 7.211