During the past week ending January 26, average Chinese domestic rebar and wire rod prices have continued their downtrend amid the gradual halting of activities at construction sites.
The average rebar price has decreased by RMB 23/mt ($3.3/mt) compared to January 19, while the average 6.5 mm HPB 300 wire rod price has declined by RMB 20/mt ($2.8/mt). Rebar prices have increased by RMB 3/mt ($0.4/mt) compared to the previous trading day, January 23.
During the given week, rebar and wire rod prices in the Chinese domestic market have indicated decreases as construction sites have been gradually halting their construction activities after completing their targets ahead of the Chinese New Year holiday (February 14-23). Since the long holiday is approaching, market players have started to be cautious as regards the future trend of rebar and wire rod prices. Some market participants may build up a certain amount of stock ahead of the long holiday, which could bolster rebar and wire rod prices in the near future. Meanwhile, relatively low inventories will exert a positive impact on rebar and wire rod prices. It is thought that rebar and wire rod prices in the Chinese domestic market will likely fluctuate within a limited range in the coming week.
As of January 26, rebar futures at Shanghai Futures Exchange are standing at RMB 3,143/mt ($449/mt), increasing by RMB 3/mt ($0.4/mt) or 0.09 percent since January 19, while up 0.29 percent compared to the previous trading day, January 23.
Average domestic rebar and wire rod prices in China's main markets are presented in the tables below.
Rebar prices in local markets
| Spec. (mm) - Category | City | Price (RMB/mt) | Price ($/mt) |
Weekly change (RMB/mt) |
Weekly change ($/mt) |
| 25 - HRB400 | Beijing | 3,140 | 449.6 | -20 | -1.5 |
| Guangzhou | 3,440 | 492.6 | -40 | -4.2 | |
| Shanghai | 3,200 | 458.2 | -10 | -0.1 | |
| Average price | 3,260 | 466.8 | -23 | -1.9 |
All prices include 13 percent VAT and all prices are ex-warehouse.
Wire rod prices in local markets
| Spec. (mm) - Category | City | Price (RMB/mt) |
Price ($/mt) | Weekly change (RMB/mt) |
Weekly change ($/mt) |
| 6.5 - HPB300 | Beijing | 3,650 | 522.6 | 0 | 1.6 |
| Guangzhou | 3,750 | 536.9 | -40 | -4.1 | |
| Shanghai | 3,670 | 525.5 | -20 | -1.3 | |
| Average price | 3,690 | 528.4 | -20 | -1.3 | |
| 8 - HPB300 | Beijing | 3,430 | 491.1 | 0 | 1.5 |
| Guangzhou | 3,690 | 528.4 | -40 | -4.1 | |
| Shanghai | 3,440 | 492.6 | -20 | -1.4 | |
| Average price | 3,520 | 504.0 | -20 | -1.3 |
All prices include 13 percent VAT and all prices are ex-warehouse.
$1 = RMB 6.9843
