During the past week ending June 29, average Chinese domestic rebar and wire rod prices have continued their downtrend amid declining rebar futures prices and slack demand from downstream users.
The average rebar price has decreased by RMB 37/mt ($5.4/mt) compared to June 22, while the average 6.5 mm HPB 300 wire rod price has declined by RMB 33/mt ($4.8/mt). Rebar prices have decreased by RMB 7/mt ($1/mt) compared to the previous trading day, June 26.
During the given week, rebar and wire rod prices have continued their downward trend amid the ongoing off-season and the slack demand from downstream users. Although rebar and wire rod producers have carried out some maintenance works, demand has shrunk much more significantly than supply, exerting a negative impact on prices. Following a few sunny days, another wave of heavy rainfall is going to hit China, which will continue to negatively affect rebar and wire rod prices. Increasing coking coal and coke prices have bolstered rebar and wire rod prices to a certain degree. It is thought that rebar and wire rod prices in the Chinese domestic market will soften at a slow pace in the coming week.
As of June 29, rebar futures at Shanghai Futures Exchange are standing at RMB 3,095/mt ($454/mt), decreasing by RMB 32/mt ($4.7/mt) or 1.0 percent since June 22, while increasing by 0.13 percent compared to the previous trading day, June 26.
Average domestic rebar and wire rod prices in China's main markets are presented in the tables below.
Rebar prices in local markets
| Spec. (mm) - Category | City | Price (RMB/mt) | Price ($/mt) |
Weekly change (RMB/mt) |
Weekly change ($/mt) |
| 25 - HRB400 | Beijing | 3,140 | 460.5 | -40 | -6.1 |
| Guangzhou | 3,290 | 482.5 | -60 | -9.0 | |
| Shanghai | 3,150 | 462.0 | -10 | -1.7 | |
| Average price | 3,193.3 | 468.4 | -37 | -5.6 |
All prices include 13 percent VAT and all prices are ex-warehouse.
Wire rod prices in local markets
| Spec. (mm) - Category | City | Price (RMB/mt) |
Price ($/mt) | Weekly change (RMB/mt) |
Weekly change ($/mt) |
| 6.5 - HPB300 | Beijing | 3,750 | 550.0 | -50 | -7.6 |
| Guangzhou | 3,570 | 523.6 | -60 | -9.0 | |
| Shanghai | 3,590 | 526.5 | 10 | 1.2 | |
| Average price | 3,636.7 | 533.4 | -33 | -5.1 | |
| 8 - HPB300 | Beijing | 3,530 | 517.7 | -50 | -7.6 |
| Guangzhou | 3,510 | 514.8 | -60 | -9.0 | |
| Shanghai | 3,370 | 494.3 | 10 | 1.2 | |
| Average price | 3,470.0 | 508.9 | -33 | -5.1 |
All prices include 13 percent VAT and all prices are ex-warehouse.
$1 = RMB 6.8175
