Chinese domestic steel section market receives boost from billet prices

Prices in the Chinese domestic steel section market have risen slightly compared to one week earlier.
 
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 $342/mt in the Tangshan market and at $383/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 $353/mt in Tangshan and at $407/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, $361/mt and $392/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 have rebounded in the past week. In Tangshan, the current price of Q235 150 x 150 mm square billet is at RMB 1,940/mt ($299/mt), the price of 165 x 225 mm rectangular billet stands at RMB 1,970/mt ($304/mt), while the price of 20MnSi billet is at around RMB 2,060/mt ($318/mt). The prices are all ex-mill, including 17 percent VAT.
 
Chinese domestic steel section prices moved on a downward trend at the start of the past week, but then switched to a rising trend for the rest of the week, with prices now generally slightly higher compared to one week ago. Increases in billet prices have provided support for the market, while overall trading activity for stainless steel has improved a little. It is believed that domestic steel section prices may continue to rise in the coming week, though increase margins will not be large.

The prices are on theoretical weight basis, all prices include 17 percent VAT and all prices are ex-warehouse.
 
$1 = RMB 6.48