Chinese domestic steel section prices mostly stable, with some slight upticks

Chinese domestic steel section prices have mostly remained stable during the past week, though with slight upticks seen in some parts of the country.

In the Shanghai market, the price of 50 mm x 50 mm x 5 m steel angles is now at $667/mt (RMB 4,270/mt). The same product is sold at $623/mt (RMB 3,990/mt) in the Tangshan market and at $709/mt (RMB 4,540/mt) in the Guangzhou market. Meanwhile, prices of 160 mm x 65 mm x 8.5 mm steel channels stand at $663/mt (RMB 4,240/mt) in the Shanghai market, at $631/mt (RMB 4,040/mt) in Tangshan and at $736/mt (RMB 4,710/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 $673/mt (RMB 4,310/mt), $658/mt (RMB 4,210/mt) and $725/mt (RMB 4,640/mt). The prices are all ex-mill, including 16 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 risen slightly during the past seven days. In Tangshan, the current price of Q235 150 x 150 mm square billet is at RMB 3,670/mt ($573/mt), the price of 165 x 225 mm rectangular billet stands at RMB 3,690/mt ($577/mt), while the price of 20MnSi billet is at around RMB 3,790/mt ($592/mt). The prices are all ex-mill, including 16 percent VAT.

In the past week, overall trading activity has been at normal levels in the Chinese domestic steel section market where the slight upticks seen in some prices were due to the minor increases in billet prices. Most traders, however, have chosen to keep prices stable in order to attract more deals. Supply is still on the tight side and market inventories remain at low levels, which gives strong support to market prices. As for the week ahead, it is believed that domestic steel section prices may fluctuate slightly at around the current levels.

$1 = RMB 6.40