Mainstream ex-China steel plate offer prices from mills have been heard at $1,020-1,055/mt FOB for July shipment as of today, Monday, May 17, moving up by $92.5/mt on average compared to May 10, while remaining unchanged compared to late last week. The expectations of production restrictions have exerted a positive impact on ex-China steel plate offer prices. However, following sharp rises in ferrous metal futures prices after the Labor Day holiday, they have declined sharply over the past three trading days, which may result in decreases in steel plate export offer prices in the coming period.
The recent sharp decreases in HRC futures prices in China have created some panic among market players, dragging down steel plate prices in the spot market. Downstream users are mostly purchasing in line with their needs in the current situation. Meanwhile, inventory of steel plate has declined, which may bolster prices to a certain extent. It is thought that steel plate prices in the Chinese domestic market will likely move on a downward trend in the coming week.
Average Q235 20 mm steel plate spot prices in China have lost RMB 110/mt ($17/mt) week on week to RMB 6,330/mt ($984/mt) ex-warehouse, according to SteelOrbis’ information.
As of May 17, HRC futures at the Shanghai Futures Exchange are standing at RMB 5,949/mt ($925/mt), decreasing by RMB 386/mt ($60/mt) or 6.1 percent since May 10.
$1 = RMB 6.4306