SteelOrbis has been informed that Chinese mills’ export offer prices for wire rod have moved down by $25/mt in the past week, following the $10/mt decline seen in the previous week, and now stand at $450-455/mt FOB. “Due to the coronavirus, the disruption of transportation and restraints on population movement have negatively affected the Chinese wire rod market,” a trader said.
During the given week, Jiangsu Province-based Shagang Group, China’s largest private steelmaker, has kept its offer prices for high-speed wire rod stable for the February 11-20 period, reflecting its cautious attitude as regards the future prospects for the market.
The Chinese government has implemented several measures to stimulate resumption of production in the steel market, while demand has not returned to normal levels yet due to the coronavirus outbreak.
As of Thursday, February 13, rebar futures at the Shanghai Future Exchange are standing at RMB 3,395/mt ($486.5/mt), increasing by RMB 91/mt ($13/mt) or 2.75 percent since February 6.
$1 = RMB 6.979