In the past week, most areas in China have seen a slight rise in steel section prices, while some cities posted a slight fall.
In the Shanghai market, the price of 50 mm x 50 mm x 5 m steel angles is now at $683/mt. The same product is sold at $666/mt in the Tangshan market and at $717/mt in the Guangzhou market. Meanwhile, prices of 160 mm x 65 mm x 8.5 mm steel channels stand at $683/mt in the Shanghai market, at $678/mt in Tangshan and at $729/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 $688/mt, $669/mt and $713/mt. The prices are all ex-mill, including 17 percent VAT. Average steel section prices in China can be viewed in the SteelOrbis price reports section.
As for billet, prices in the Chinese market have been on a stable trend during the past week. In Tangshan, the current price of Q235 150 x 150 mm square billet is at RMB 3,810/mt ($602/mt), the price of 165 x 225 mm rectangular billet stands at RMB 3,840/mt ($608/mt), while the price of 20MnSi billet is around RMB 3,930/mt ($624/mt). The prices are all ex-mill, including 17 percent VAT.
The downstream side is maintaining a wait-and-see stance. Since the steel section market has been rising for a couple of weeks now, downstream buyers believe that prices are a little overvalued and that there is room for a reduction in prices. In addition, pressure from lack of funds has increased again and news of bankruptcies and failures to meet payment deadlines have increased. In order to avoid risks, the downstream side has slowed its activity and increased its cautious approach. However, with the warm weather coming the demand side is improving somewhat. Meanwhile, the macroeconomic situation is still characterized by uncertainty. In the short term, it is thought that there will be limited room for rises in the market.