Chinese domestic steel section prices continue to decrease

Chinese domestic steel section prices have continued their downward trend during the past week.

As for billet, prices of the semi-finished steel product in the Chinese domestic market have softened during the past week. In Tangshan, the current price of Q235 150 mm x 150 mm square billet is at RMB 3,400/mt ($503/mt), the price of 165 mm x 225 mm rectangular billet stands at RMB 3,420/mt ($506/mt), while the price of 20MnSi billet is at around RMB 3,500/mt ($518/mt). The prices are all ex-mill, including 13 percent VAT.

Overall trading activity in the Chinese domestic steel section market has been sluggish during the past week. With prices of billet and other raw materials following a soft trend, steel section prices have also mostly followed a downward trend. Supply volumes have recently increased slightly, which also exerts some pressure on steel section prices. As for the week ahead, considering that downstream buyers may increase their stock levels before the national holiday, it is believed that steel section prices in China may move sideways or rebound slightly in the past week.  

The prices are all ex-mill, including 13 percent VAT.

$1 = RMB 6.760