Chinese domestic steel section market prices maintain downward trend

Chinese domestic steel section prices have continued a reducing trend during the past week.

In the Shanghai market, the price of 50 mm x 50 mm x 5 m steel angles is now at $646/mt (RMB 4,480/mt). The same product is sold at $562/mt (RMB 3,900/mt) in the Tangshan market and at $670/mt (RMB 4,650/mt) in the Guangzhou market. Meanwhile, prices of 160 mm x 65 mm x 8.5 mm steel channels stand at $620/mt (RMB 4,300/mt) in the Shanghai market, at $566/mt (RMB 3,930/mt) in Tangshan and at $686/mt (RMB 4,760/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 $612/mt (RMB 4,250/mt), $579/mt (RMB 4,020/mt) and $677/mt (RMB 4,700/mt). The prices are all ex-mill, including 16 percent VAT. Steel section prices in the Chinese domestic market can be viewed in the table below.

As for billet, Chinese domestic market prices have continued a decreasing trend during past seven days. In Tangshan, the current price of Q235 150 x 150 mm square billet is at RMB 3,580/mt ($516/mt), the price of 165 x 225 mm rectangular billet stands at RMB 3,600/mt ($518/mt), while the price of 20MnSi billet is at around RMB 3,680/mt ($530/mt). The prices are all ex-mill, including 16 percent VAT.

Chinese steel section market prices have continued to decline during the past week. Overall trading activity has been at low levels. Billet prices showed a decreasing trend at the beginning of last week which led downstream user to adopt a wait-and-see stance so the trade volume remained sluggish. As for the week ahead, considering lack of recovery in demand, it is believed that the steel section market prices may keep decreasing but with a smaller decline rate.

$1 = RMB 6.94