Chinese domestic steel section prices stable or down slightly

Chinese domestic steel section prices have either moved sideways or declined slightly during the past week.

As for billet, prices of the semi-finished steel product in the Chinese domestic market have indicated slight decreases during the past seven days. In Tangshan, the current price of Q235 150 x 150 mm square billet is at RMB 3,400/mt ($495/mt), the price of 165 x 225 mm rectangular billet stands at RMB 3,420/mt ($498/mt), while the price of 20MnSi billet is at around RMB 3,500/mt ($510/mt). The prices are all ex-mill, including 13 percent VAT.

Overall trading activity has been at a very low level in the past week in the local Chinese steel section market due to the Chinese New Year holiday, while the downstream side has mostly has been preparing to leave for the holidays. Market inventory levels have increased slightly. Some traders have made small reductions to their quoted prices in order to collect more cash before the holiday. As for the week ahead, trading activity is expected to be at a near standstill ahead of the holiday and steel section prices will be mostly stable.

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

$1 = RMB 6.866