Local Chinese long steel prices remain stable

During the week ending January 20, average prices of Chinese domestic rebar and wire rod have moved sideways, while transaction activity in the overall domestic rebar and wire rod market has been at low levels compared to the previous week.

During the given week, most players have left the market for the Chinese New Year holiday, resulting in low activities. Inventory levels of rebar and wire rod in the spot market have risen, while the overall level is still lower than last year and so is unlikely to exert strong pressure on rebar and wire rod prices in the spot market, though demand will also play a key role in affecting the market after the holiday.

Rebar futures prices in China have declined in the past week. On January 20, rebar futures contract (2005) offers closed at RMB 3,605/mt ($525.1/mt) at Shanghai Futures Exchange, down by 2.12 percent since January 13.

Average domestic rebar and wire rod prices in China's main markets are presented in the tables below.

Rebar prices in local markets

All prices include 13 percent VAT and all prices are ex-warehouse.

 Wire rod prices in local markets

All prices include 13 percent VAT and all prices are ex-warehouse.

$1 = RMB 6.866