During the past week, the steel section market in China has seen an acceleration of its downward movement, especially in central and eastern areas of China.
In the Shanghai market, the price of 50 mm x 50 mm x 5 m steel angles is now at $641/mt. The same product is sold at $601/mt in the Tangshan market and at $660/mt in the Guangzhou market. Meanwhile, prices of 160 mm x 65 mm x 8.5 mm steel channels stand at $641/mt in the Shanghai market, at $617/mt in Tangshan and at $677/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 $646/mt, $617/mt and $665/mt. The prices are all ex-mill, including 17 percent VAT.
As for billet, prices in the Chinese market have followed a downward trend during the past week. In Tangshan, the current price of Q235 150 x 150 mm square billet is at RMB 3,500/mt ($554/mt), the price of 165 x 225 mm rectangular billet stands at RMB 3,530/mt ($559/mt), while the price of 20MnSi billet is around RMB 3,620/mt ($573/mt). The prices are all ex-mill, including 17 percent VAT.
The overall trading volume in the Chinese steel section market is still low. The steel market has entered its traditional off-season, which means that demand for steel sections is unlikely to improve in the short term. Meanwhile, steel mills have been gradually reducing their prices. China's steel section market is expected to maintain its downward trend in the coming week.