Chinese domestic steel section prices sharply going upward

During the past week, prices in the Chinese domestic steel section market have indicated a strong upward movement.

In the Shanghai market, the price of 50 mm x 50 mm x 5 m steel angles is now at $358/mt. The same product is sold at $356/mt in the Tangshan market and at $388/mt in the Guangzhou market. Meanwhile, prices of 160 mm x 65 mm x 8.5 mm steel channels stand at $348/mt in the Shanghai market, at $372/mt in Tangshan and at $388/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 $359/mt, $367/mt and $396/mt. The prices are all ex-mill, including 17 percent VAT. Steel section prices in the Chinese domestic market are presented in the table below.

As for billet, prices in the Chinese domestic market have slightly declined over the past week. In Tangshan, the current price of Q235 150 x 150 mm square billet is at RMB 2,120/mt ($325/mt), the price of 165 x 225 mm rectangular billet stands at RMB 2,170/mt ($333/mt), while the price of 20MnSi billet is at around RMB 2,260/mt ($347/mt). The prices are all ex-mill, including 17 percent VAT.
 
Chinese section market prices have followed a sharp upward trend during the past week. Overall trade volume has also showed a good performance due to the rise seen in prices. Upstream billet prices have also increased in the same period. As for the coming week, it is thought that Chinese domestic steel section prices may continue its upward movement, though increase margins may be smaller.

The prices are on theoretical weight basis, all prices include 17 percent VAT and all prices are ex-warehouse.
 
$1 = RMB 6.52