During the week ending August 1, average hot rolled coil (HRC) prices in the Chinese domestic market have increased, while transaction activity in the market has been at low-to-medium levels. Average HRC prices in the local Chinese market are presented in the following table.
During the given week, inventory levels in the HRC spot market have decreased slightly, providing some support for HRC prices amid tighter supply. Meanwhile, due to the impact of environmental inspections and the government’s determination to eliminate outdated capacity, ferrous metal futures prices in China have increased, which has exerted a positive impact on the HRC market. However, the rising capacity utilization rates will result in increased supply to the market and negatively impact HRC prices in the future. It is thought that HRC prices in the Chinese domestic market will likely move sideways in the coming week.
|
Product Name |
Spec. |
Quality |
City |
Steel Plant/Origin |
Price (RMB/mt) |
Price ($/mt) |
Weekly Change (RMB/mt) |
|
Medium HRC |
5.75 mm x 1,500 mm x C |
Q235B/SS400 |
Shanghai |
Ansteel |
3,860 |
574 |
↓70 |
|
Tianjin |
Ansteel |
3,800 |
565 |
↑100 |
|||
|
Lecong |
Liuzhou Steel |
3,900 |
580 |
↑90 |
|||
|
Average |
- |
3,854 |
574 |
↑41 |
|||
|
Thin HRC |
2.75 mm x 1.,250 mm x C |
Q235B |
Shanghai |
Ansteel |
3,950 |
588 |
↑90 |
|
Tianjin |
Tangshan Steel |
3,850 |
573 |
↑70 |
|||
|
Lecong |
Lianyuan Steel |
3,970 |
591 |
↑100 |
|||
|
Average |
- |
3,924 |
584 |
↑88 |
17 percent VAT is included in all prices and all prices are ex-warehouse.
$1 = RMB 6.72