The depression observed in recent weeks in the Chinese steel plate market has not shown any signs of lifting yet. On the contrary, several large producers have further reduced their steel prices in the week ending July 14. With steel prices continuing to drop down, producers have started to cut back their production. As of July 14, the average steel plate prices in the main Chinese cities are as follows:
Product name | Specification | Category | Average price (RMB/mt) | Weekly change (RMB/mt) | Price ($/mt) | Weekly change ($/mt) |
Common carbon medium plate | 20 mm | Q235 | 4,010 | -60 | 592 | -9 |
Low alloy medium plate | 20 mm | Q345 | 4, 150 | - | 613 | - |
Shipbuilding plate | 16 mm | CCS A/B | 4,617 | -93 | 682 | -14 |
The mainstream steel plate quotations given by domestic second and third tier mills have dropped to RMB 3,900/mt ($576/mt). On the low alloy medium plate side, given the scarcity of supplies, prices have stayed relatively stable in the domestic market.
On July 13, China's Baosteel Group issued its new pricing policy for August. Thus, the company's sale price of wide plates has declined by RMB 500/mt ($74/mt), and the published price of Q235B plate is now RMB 4,250/mt ($628/mt), exclusive of taxes. On July 14, Chinese steel producer Wuhan Iron and Steel Co., Ltd (WISCO) announced its August prices, with a RMB 200/mt ($30/mt) reduction in prices of steel plate. Accordingly, the sales price of Q235 14-20 mm plate now stands at RMB 4,120/mt ($604/mt) ex-mill, excluding taxes.