Activity still slack in Chinese domestic semi-finished steel market

During the week ending December 13, Chinese domestic semi-finished steel prices have indicated significant increases, while transaction activity in the market has been at low levels. Average prices of steel billet and slab in the local Chinese market are presented in the following table.
 
During the given week, the closure of many illegal intermediate frequency melting furnaces in China has resulted in reduced semi-finished supply in the spot market, exerting a positive impact on semi-finished steel prices in China. Meanwhile, buyers have mostly maintained a wait-and-see stance towards the market, contributing to low levels of transaction activity. It is thought that semi-finished steel prices in the Chinese domestic market will likely continue their upward trend in the coming week.

All prices are ex-warehouse and on actual weight basis and include 17 percent VAT.
 
$1 = RMB 6.90