Chinese domestic steel section market receives support from higher billet prices

Chinese domestic steel section prices have moved on an upward 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 $404/mt (RMB 2,720/mt). The same product is sold at $364/mt (RMB 2,450/mt) in the Tangshan market and at $426/mt (RMB 2,870/mt) in the Guangzhou market. Meanwhile, prices of 160 mm x 65 mm x 8.5 mm steel channels stand at $404/mt (RMB 2,720/mt) in the Shanghai market, at $366/mt (RMB 2,470/mt) in Tangshan and at $444/mt (RMB 2,990/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 $414/mt (RMB 2,790/mt), $375/mt (RMB 2,530/mt) and $492/mt (RMB 3,280/mt). The prices are all ex-mill, including 17 percent VAT. Steel section prices in the Chinese domestic market can be viewed in the table below.
 
As for billet, prices in the Chinese domestic market have risen in the past seven days. In Tangshan, the current price of Q235 150 x 150 mm square billet is at RMB 2,220/mt ($329/mt), the price of 165 x 225 mm rectangular billet stands at RMB 2,250/mt ($334/mt), while the price of 20MnSi billet is at around RMB 2,340/mt ($347/mt). The prices are all ex-mill, including 17 percent VAT.
 
Overall trading activity in the local Chinese steel section market has been at normal levels in the past week, having improved slightly compared to the previous week. The uptrend in the market has been due mainly to the increases seen in billet prices. As for the coming week, it is believed that domestic steel section prices may continue their upward trend.

$1 = RMB 6.74