The Chinese steel section market has seen a further decline in the past week, though by a smaller margin as compared to the previous week.
In the Shanghai market, the price of 50 mm x 50 mm x 5 m steel angles is now at $599/mt. The same product is sold at $562/mt in the Tangshan market and at $623/mt in the Guangzhou market. Meanwhile, prices of 160 mm x 65 mm x 8.5 mm steel channels stand at $599/mt in the Shanghai market, at $565/mt in Tangshan and at $662/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 $591/mt, $580/mt and $618/mt. The prices are all ex-mill, including 17 percent VAT.
As for billet, prices in the Chinese market have moved down slightly during the past week. In Tangshan, the current price of Q235 150 x 150 mm square billet is at RMB 3,240/mt ($512/mt), the price of 165 x 225 mm rectangular billet stands at RMB 3,270/mt ($517/mt), while the price of 20MnSi billet is around RMB 3,360/mt ($511/mt). The prices are all ex-mill, including 17 percent VAT.
It is still hard to judge how close China's steel section market is to hitting the bottom. However, the bottom certainly seems close as market prices are at their lowest levels of the past two years, while raw material prices are now characterized by greater stability. In this context, it is thought that China's steel section market will see greater stability in the coming period.