Chinese domestic steel section market mostly moves slightly up

Chinese domestic steel section price showed a small margin of increase trend in past week.

In the Shanghai market, the price of 50 mm x 50 mm x 5 m steel angles is now at $676/mt (RMB 4,250/mt). The same product is sold at $644/mt (RMB 4,050/mt) in the Tangshan market and at $727/mt (RMB 4,570/mt) in the Guangzhou market. Meanwhile, prices of 160 mm x 65 mm x 8.5 mm steel channels stand at $672/mt (RMB 4,230/mt) in the Shanghai market, at $622/mt (RMB 3,910/mt) in Tangshan and at $747/mt (RMB 4,700/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 $671/mt (RMB 4,220/mt), $633/mt (RMB 3,980/mt) and $730/mt (RMB 4,590/mt). The prices are all ex-mill, including 17 percent VAT. Steel section prices in the Chinese domestic market can be viewed in the SteelOrbis price reports section.

As for billet, Chinese domestic market price showed an upward trend in past week. In Tangshan, the current price of Q235 150 x 150 mm square billet is at RMB 3,470/mt ($552/mt), the price of 165 x 225 mm rectangular billet stands at RMB 3,490/mt ($555/mt), while the price of 20MnSi billet is at around RMB 3,590/mt ($571/mt). The prices are all ex-mill, including 17 percent VAT.

Local Chinese section market has moved up slightly over the past week, while the overall trade volume has been a normal level. Domestic section prices in China have followed the rebounded upstream billet prices in this period. The market inventory in the local Chinese section market has been at low levels, while there were even shortages observed for certain products, providing support for prices. Meanwhile, demand for domestic section has indicated a slightly increasing trend. With the support provided by cost and demand side, Chinese section market is expected to move up in a fluctuating trend in the next week.

$1 = RMB 6.29