Chinese domestic steel section prices decline

Chinese domestic steel section prices have followed a fluctuating downward trend during past week.

In the Shanghai market, the price of 50 mm x 50 mm x 5 m steel angles is now at $620/mt (RMB 4,284/mt). The same product is sold at $555/mt (RMB 3,835/mt) in the Tangshan market and at $633/mt (RMB 4,374/mt) in the Guangzhou market. Meanwhile, prices of 160 mm x 65 mm x 8.5 mm steel channels stand at $578/mt (RMB 3,994/mt) in the Shanghai market, at $559/mt (RMB 3,864/mt) in Tangshan and at $658/mt (RMB 4,547/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 $587/mt (RMB 4,056/mt), $568/mt (RMB 3,925/mt) and $643/mt (RMB 4,443/mt). The prices are all ex-mill, including 13 percent VAT. Steel section prices in the Chinese domestic market can be viewed in the table below.

As for billet, prices of the semi-finished steel product in the Chinese domestic market have showed a downward trend during past week. In Tangshan, the current price of Q235 150 x 150 mm square billet is at RMB 3,550/mt ($514/mt), the price of 165 x 225 mm rectangular billet stands at RMB 3,570/mt ($517/mt), while the price of 20MnSi billet is at around RMB 3,650/mt ($528/mt). The prices are all ex-mill, including 13 percent VAT.

Chinese section steel market prices have showed a downward trend during past week. Overall trading activity has been at a low level. Upstream billet prices have showed a downward trend and low demand volume are main reasons cause the section steel price follow the reduce tendency. Supply volume recently has kept at a high level and market inventory has increased slightly. As for the week ahead, prices in the local Chinese steel section market are likely to decline further.

$1 = RMB 6.91