Chinese domestic steel section prices fluctuate slightly

Chinese domestic steel section prices have indicated minor fluctuations during the past seven days.

As for billet, prices of the semi-finished steel product in the Chinese domestic market have moved up slightly week on week. In Tangshan, the current price of Q235 150 x 150 mm square billet is at RMB 4,970/mt ($762/mt), the price of 165 x 225 mm rectangular billet stands at RMB 4,990/mt ($765/mt), while the price of 20MnSi billet is at around RMB 5,070/mt ($777/mt). The prices are all ex-mill, including 13 percent VAT.

Overall trading activity in the domestic steel section has been at normal levels. In the past week, billet prices first declined and then rebounded, causing section steel prices mostly to follow a similar movement. Steel section supply volumes are at low levels, but, since buyers have mostly been in waiting mode, the support from the low supply volumes has been relatively small. Traders have mostly been unwilling to increase their stock levels since section prices and raw material prices have continued to fluctuate. As for the week ahead, it is believed that steel section prices may fluctuate in a slightly upward direction.

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

$1 = RMB 6.523