During the past week ending June 8, average Chinese domestic rebar and wire rod prices have edged down amid slack demand from downstream users and declining rebar futures prices.
The average rebar price has decreased by RMB 30/mt ($4.4/mt) compared to June 1, while the average 6.5 mm HPB 300 wire rod price has declined also by RMB 30/mt ($4.4/mt). Rebar prices have decreased by RMB 3/mt ($0.44/mt) compared to the previous trading day, June 5.
During the given week, rebar and wire rod prices have moved down amid declining rebar futures prices. Demand for rebar and wire rod from downstream users has been slack, resulting in increasing inventories, which has exerted a negative impact on prices. The production of rebar and wire rod has increased slightly, weakening the support for prices. On June 8, the stock market in China decreased sharply, negatively affecting market sentiments. It is expected that rebar and wire rod prices in the Chinese domestic market will soften further in the coming week.
As of June 8, rebar futures at Shanghai Futures Exchange are standing at RMB 3,157/mt ($463/mt), decreasing by RMB 20/mt ($2.9/mt) or 0.6 percent since June 1, while down 0.09 percent compared to the previous trading day, June 5.
Average domestic rebar and wire rod prices in China's main markets are presented in the tables below.
Rebar prices in local markets
| Spec. (mm) - Category | City | Price (RMB/mt) | Price ($/mt) |
Weekly change (RMB/mt) |
Weekly change ($/mt) |
| 25 - HRB400 | Beijing | 3,220 | 472.1 | -30 | -4.6 |
| Guangzhou | 3,430 | 502.9 | -30 | -4.6 | |
| Shanghai | 3,180 | 466.3 | -30 | -4.6 | |
| Average price | 3,276.7 | 480.4 | -30 | -4.6 |
All prices include 13 percent VAT and all prices are ex-warehouse.
Wire rod prices in local markets
| Spec. (mm) - Category | City | Price (RMB/mt) |
Price ($/mt) | Weekly change (RMB/mt) |
Weekly change ($/mt) |
| 6.5 - HPB300 | Beijing | 3,850 | 564.5 | -30 | -4.6 |
| Guangzhou | 3,720 | 545.5 | -30 | -4.6 | |
| Shanghai | 3,610 | 529.3 | -30 | -4.6 | |
| Average price | 3,726.7 | 546.4 | -30 | -4.6 | |
| 8 - HPB300 | Beijing | 3,630 | 532.3 | -30 | -4.6 |
| Guangzhou | 3,660 | 536.7 | -30 | -4.6 | |
| Shanghai | 3,380 | 495.6 | -30 | -4.6 | |
| Average price | 3,556.7 | 521.5 | -30 | -4.6 |
All prices include 13 percent VAT and all prices are ex-warehouse.
$1 = RMB 6.8198
