Chinese domestic steel section market follows trend of billet prices

Chinese domestic steel section prices are at higher levels compared to one week ago.
 
In the Shanghai market, the price of 50 mm x 50 mm x 5 m steel angles is now at $377/mt. The same product is sold at $348/mt in the Tangshan market and at $392/mt in the Guangzhou market. Meanwhile, prices of 160 mm x 65 mm x 8.5 mm steel channels stand at $364/mt in the Shanghai market, at $358/mt in Tangshan and at $416/mt in the Guangzhou market. In the Shanghai, Tangshan and Guangzhou markets, 250 mm x 118 mm x 10 m I-beam prices stand respectively at $378/mt, $367/mt and $399/mt. The prices are all ex-mill, including 17 percent VAT. Steel section prices in the Chinese domestic market are presented in the table below.

As for billet, prices in the Chinese domestic market first moved on a rising trend in the past week, but then started to decline. In Tangshan, the current price of Q235 150 x 150 mm square billet is at RMB 2,000/mt ($307/mt), the price of 165 x 225 mm rectangular billet stands at RMB 2,030/mt ($312/mt), while the price of 20MnSi billet is at around RMB 2,120/mt ($326/mt). The prices are all ex-mill, including 17 percent VAT.
 
Following the trend of billet prices, in the past week Chinese domestic steel section prices first increased, but then started to soften, with prices now higher compared to one week ago. Overall trading activity has been at normal levels. High costs are still providing support for steel section prices. As for the coming week, it is thought that the local Chinese domestic steel section market may just indicate slight fluctuations.

$1 = RMB 6.51