During the past week ending April 27, average Chinese domestic rebar and wire rod prices have continued their slow uptrend amid the increases seen in rebar futures prices, which reflect cautiously optimistic moods in the market during pre-holiday restocking, which, however, has almost finished.
The average rebar price has increased by RMB 30/mt ($4.4/mt) compared to April 20, while the average 6.5 mm HPB 300 wire rod price has risen by RMB 27/mt ($3.9/mt). Rebar prices have risen by RMB 7/mt ($1.0/mt) compared to the previous trading day, April 17.
During the given week, rebar and wire rod prices have continued their slow uptrend amid the improved demand from downstream users and a moderate degree of inventory replenishment ahead of the Labor Day holiday (May 1-5). The production of rebar has increased slightly, but it is still at a relatively low level for the same period over the past four years, thereby providing some support for prices. Restocking activities is seen across the whole supply chain of the steel industry, bolstering rebar and wire rod prices firmly. However, demand for rebar and wire rod from downstream users may be nearing its peak level, which will exert an eventual negative impact on prices. It is thought that rebar and wire rod prices in the Chinese domestic market are likely to fluctuate in a slightly firmer direction ahead of the Labor Day holiday.
As of April 27, rebar futures at Shanghai Futures Exchange are standing at RMB 3,190/mt ($465/mt), increasing by RMB 18/mt ($2.6/mt) or 0.6 percent since April 20, while remaining stable compared to the previous trading day, April 24.
Average domestic rebar and wire rod prices in China's main markets are presented in the tables below.
Rebar prices in local markets
| Spec. (mm) - Category | City | Price (RMB/mt) | Price ($/mt) |
Weekly change (RMB/mt) |
Weekly change ($/mt) |
| 25 - HRB400 | Beijing | 3,260 | 475.4 | 70 | 10.7 |
| Guangzhou | 3,530 | 514.7 | 10 | 2.0 | |
| Shanghai | 3,190 | 465.2 | 10 | 1.9 | |
| Average price | 3,326.7 | 485.1 | 30 | 4.9 |
All prices include 13 percent VAT and all prices are ex-warehouse.
Wire rod prices in local markets
| Spec. (mm) - Category | City | Price (RMB/mt) |
Price ($/mt) | Weekly change (RMB/mt) |
Weekly change ($/mt) |
| 6.5 - HPB300 | Beijing | 3,790 | 552.6 | 70 | 10.8 |
| Guangzhou | 3,830 | 558.5 | 0 | 0.6 | |
| Shanghai | 3,620 | 527.9 | 10 | 2.0 | |
| Average price | 3,746.7 | 546.3 | 27 | 4.4 | |
| 8 - HPB300 | Beijing | 3,570 | 520.6 | 70 | 10.7 |
| Guangzhou | 3,770 | 549.7 | 0 | 0.6 | |
| Shanghai | 3,390 | 494.3 | 10 | 2.0 | |
| Average price | 3,576.7 | 521.5 | 27 | 4.4 |
All prices include 13 percent VAT and all prices are ex-warehouse.
$1 = RMB 6.8579
