During the past week ending June 9, average Chinese domestic rebar and wire rod prices have continued the downtrend due to weakening demand, dropping futures and raw materials price declines.
The average rebar price has decreased by RMB 47/mt ($6.5/mt) compared to May 26, while the average 6.5 mm HPB 300 wire rod price has declined by RMB 60/mt ($8.3/mt). Rebar prices have decreased by RMB 4/mt ($0.6/mt) compared to the previous trading day, June 6.
During the given week, rebar and wire rod prices have seen further decreases amid the declining rebar futures prices. It is the plum rainy season in the lower and middle reaches of the Yangtze River, which has exerted a negative impact on construction activities and slackened the demand for rebar and wire rod. Raw material prices moved down, weakening the support to rebar and wire rod from cost side. It is expected that rebar and wire rod prices in the Chinese domestic market will edge down further in the coming week.
As of June 9, rebar futures at Shanghai Futures Exchange are standing at RMB 2,981/mt ($414/mt), decreasing by RMB 23/mt ($3.2/mt) or 0.8 percent since May 26, while down 0.03 percent compared to the previous trading day, June 6.
Average domestic rebar and wire rod prices in China's main markets are presented in the tables below.
Rebar prices in local markets
| Spec. (mm) - Category | City | Price (RMB/mt) | Price ($/mt) |
Weekly change (RMB/mt) |
Weekly change ($/mt) |
| 25 - HRB400 | Beijing | 3,160 | 439.7 | -10 | -1.6 |
| Guangzhou | 3,220 | 448.1 | -90 | -12.7 | |
| Shanghai | 3,080 | 428.6 | -40 | -5.7 | |
| Average price | 3,153.3 | 438.8 | -47 | -6.7 |
All prices include 13 percent VAT and all prices are ex-warehouse.
Wire rod prices in local markets
| Spec. (mm) - Category | City | Price (RMB/mt) |
Price ($/mt) | Weekly change (RMB/mt) |
Weekly change ($/mt) |
| 6.5 - HPB300 | Beijing | 3,690 | 513.5 | -30 | -4.4 |
| Guangzhou | 3,470 | 482.9 | -90 | -12.7 | |
| Shanghai | 3,600 | 501.0 | -60 | -8.6 | |
| Average price | 3,586.7 | 499.1 | -60 | -8.6 | |
| 8 - HPB300 | Beijing | 3,510 | 488.4 | -30 | -4.4 |
| Guangzhou | 3,410 | 474.5 | -90 | -12.7 | |
| Shanghai | 3,310 | 460.6 | -60 | -8.5 | |
| Average price | 3,410.0 | 474.5 | -60 | -8.6 |
All prices include 13 percent VAT and all prices are ex-warehouse.
$1 = RMB 7.1855
