China's domestic steel section market mostly moved on a slight downward trend during the past week, though a small rebound was observed at the end of the week.
In the Shanghai market, the price of 50 mm x 50 mm x 5 m steel angles is now at $621/mt. The same product is sold at $572/mt in the Tangshan market and at $618/mt in the Guangzhou market. Meanwhile, prices of 160 mm x 65 mm x 8.5 mm steel channels stand at $621/mt in the Shanghai market, at $581/mt in Tangshan and at $629/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 $621/mt, $615/mt and $626/mt. The prices are all ex-mill, including 17 percent VAT. Average steel section prices in the Chinese domestic market can be viewed in the SteelOrbis price reports section.
As for billet, prices in the Chinese market have moved down slightly during the past week. In Tangshan, the current price of Q235 150 x 150 mm square billet is at RMB 3,250/mt ($518/mt), the price of 165 x 225 mm rectangular billet stands at RMB 3,280/mt ($522mt), while the price of 20MnSi billet is at around RMB 3,370/mt ($537/mt). The prices are all ex-mill, including 17 percent VAT.
The decrease in domestic steel section prices in the past week was influenced by marcroeconomic developments, with the central bank needing to restrict funding in order to limit inflation. Weak demand and the softening of billet prices also influenced the steel section price trend. The rebound in the steel futures market contributed to the small rise seen in steel section prices at the end of the week. It is thought that the domestic steel section market will continue its downward trend in the coming week, though the decrease margin may be limited as some domestic producers have reduced production amid overhauls and maintenance work.