Mainstream ex-China steel plate offer prices from mills have been heard at $505-515/mt FOB for late October shipment as of today, Monday, August 10, moving up by $5/mt on average week on week due to the firm trend in the local market following an increasing trend in the previous week.
Reference deal prices have been heard at $500-510/mt FOB to South America and Southeast Asia, up by $10-15/mt over the past week. Though demand from the overseas market has been slack amid the negative impact from Covid-19, the firm trend in the local steel plate market has bolstered ex-China steel plate offer prices.
At the same time, China has remained a targeted sales destination for foreign suppliers, with more offers emerging. After bookings of ex-South Korea plate concluded at $475/mt CFR in the past ten days, sellers in Russia and India have tried to seek export opportunities in China. Offers from Russia have been heard at $480/mt CFR, while ex-India plate has been available at $480-490/mt CFR China.
During the given week, there have been limited steel plate supplies arriving in the spot market in China, providing support for prices. Meanwhile, the high levels of booking costs have also bolstered sellers’ offer prices in the domestic market. At the same time, major Chinese steelmaker Baosteel has raised its ex-works prices for steel plate by RMB 200/mt ($28/mt) for September, exerting a positive impact on the market. However, downstream users are cautious as regards the future prospects for the market following the rises recorded in steel plate prices.
Average Q235 20 mm steel plate spot prices in China have edged up by RMB 20/mt ($2.9/mt) week on week to RMB 3,966/mt ($570/mt) ex-warehouse, according to SteelOrbis’ information.
As of August 10, HRC futures at the Shanghai Future Exchange are standing at RMB 3,894/mt ($559.5/mt), decreasing by RMB 17/mt ($2.4/mt) or 0.4 percent since August 3.
$1 = RMB 6.9649
