Chinese domestic steel section prices mostly soften

The Chinese domestic steel section market has mostly moved on a downward trend in the past week.

In the Shanghai market, the price of 50 mm x 50 mm x 5 m steel angles is now at $687/mt (RMB 4,340/mt). The same product is sold at $636/mt (RMB 4,020/mt) in the Tangshan market and at $726/mt (RMB 4,590/mt) in the Guangzhou market. Meanwhile, prices of 160 mm x 65 mm x 8.5 mm steel channels stand at $680/mt (RMB 4,300/mt) in the Shanghai market, at $641/mt (RMB 4,050/mt) in Tangshan and at $742/mt (RMB 4,690/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 $674/mt (RMB 4,260/mt), $652/mt (RMB 4,120/mt) and $731/mt (RMB 4,620/mt). The prices are all ex-mill, including 17 percent VAT. Steel section prices in the Chinese domestic market can be viewed in the SteelOrbis price reports section.

As for billet, Chinese domestic market price showed a downward trend in past week. In Tangshan, the current price of Q235 150 x 150 mm square billet is at RMB 3,610/mt ($571/mt), the price of 165 x 225 mm rectangular billet stands at RMB 3,630/mt ($574/mt), while the price of 20MnSi billet is at around RMB 3,730/mt ($590/mt). The prices are all ex-mill, including 17 percent VAT.

In the past week, trading activity in the local Chinese steel section market has been at reasonable levels, while prices have mostly softened due to the influence of lower rebar futures and billet prices. Demand is still not as good as anticipated, though it is believed that demand will increase during the coming period since March and April are good months for trading activity and so prices are not expected to indicate significant decreases. It is thought that domestic steel section prices may rebound slightly in the coming week.  

$1 = RMB 6.32