On March 17, Chinese steel giant Baosteel finally released its April price policy after a long period of preparation. Contrary to expectations in the domestic steel market, the mill's product prices have not increased, instead remaining unchanged. The main products, including hot rolled pickled coil, CR, and galvanized steel are the same as the ex-factory prices for March.
In March, Chinese domestic steel prices have been on an upward trend. Baosteel's high-end products have an obvious advantage, with Baosteel's auto sheet holding by far the leading position in the market. Supported by good automobile sales in China, Baosteel's sales situation is very positive.
Baosteel delayed the release of its April product prices due to its caution on the issue. Regarding the producer's unchanged prices, many analysts consider that, while conditions were in place for a price increase, due to a number of factors - the relationship between price policy and supply & demand in the domestic market, the still unresolved situation in the iron ore price negotiations, and in consideration of the overall benefit of Chinese industry - Baosteel decided keep its prices unchanged.
In addition, the prices of some products not included in the March 17 announcement, such as plate and general HR products, may be increased, though the report in question is not official. Further information in this regard is expected to be issued in due course by Baosteel.