During the past week ending April 21, average Chinese domestic rebar and wire rod prices have edged down as sentiments have been weak and outputs have been high, but the expectations for the near future are more positive.
The average rebar price has decreased by RMB 17/mt ($2.4/mt) compared to April 14, while the average 6.5 mm HPB 300 wire rod price has declined by RMB 14/mt ($1.9/mt). Rebar prices have increased by RMB 13/mt ($1.8/mt) compared to the previous trading day, April 18.
During the given week, rebar and wire rod prices have edged down amid the prevailing cautious sentiments among market players. The outputs of rebar and wire rod are expected to decline due to shrinking profitability in the near future, which may bolster prices to a certain degree. As the Labor Day holiday (May 1-5) is approaching, demand for rebar and wire rod is anticipated to improve slightly, which will exert a positive impact on prices. The first round of rises in coke prices has been implemented, providing certain support for rebar and wire rod prices from the cost side. It is thought that rebar and wire rod prices in the Chinese domestic market will edge up in the coming week.
As of April 21, rebar futures at Shanghai Futures Exchange are standing at RMB 3,113/mt ($432/mt), decreasing by RMB 13/mt ($1.8/mt) or 0.4 percent since April 14, while up 0.81 percent compared to the previous trading day, April 18.
Average domestic rebar and wire rod prices in China's main markets are presented in the tables below.
Rebar prices in local markets
| Spec. (mm) - Category | City | Price (RMB/mt) | Price ($/mt) |
Weekly change (RMB/mt) |
Weekly change ($/mt) |
| 25 - HRB400 | Beijing | 3,160 | 438.5 | -10 | -1.1 |
| Guangzhou | 3,410 | 473.2 | -50 | -6.6 | |
| Shanghai | 3,150 | 437.1 | +10 | +1.7 | |
| Average price | 3,240.0 | 449.6 | -17 | -2.0 |
All prices include 13 percent VAT and all prices are ex-warehouse.
Wire rod prices in local markets
| Spec. (mm) - Category | City | Price (RMB/mt) |
Price ($/mt) | Weekly change (RMB/mt) |
Weekly change ($/mt) |
| 6.5 - HPB300 | Beijing | 3,680 | 510.7 | -10 | -1.0 |
| Guangzhou | 3,660 | 507.9 | -50 | -6.6 | |
| Shanghai | 3,680 | 510.7 | 10 | +1.7 | |
| Average price | 3,673.3 | 509.8 | -17 | -2.0 | |
| 8 - HPB300 | Beijing | 3,500 | 485.7 | -10 | -1.0 |
| Guangzhou | 3,600 | 499.6 | -50 | -6.6 | |
| Shanghai | 3,390 | 470.4 | +10 | +1.7 | |
| Average price | 3,496.7 | 485.2 | -17 | -2.0 |
All prices include 13 percent VAT and all prices are ex-warehouse.
$1 = RMB 7.2055
