Local Chinese longs prices rise by $31/mt over the past week

During the week ending March 7, average Chinese domestic rebar and wire rod prices have moved up sharply, reflecting the upward movement of futures and rising raw material prices.

During the given period, the average rebar and wire rod prices have both gained RMB 217/mt or around $31/mt.  

During the given week, rebar and wire rod prices have seen sharp rises amid increasing rebar futures prices and the increases seen in almost all raw material prices. Low-priced rebar and wire rod have been consumed quickly amid prevailing bullish sentiments. According to Chinese premier Li Keqiang, China has sets its GDP growth target at 5.5 percent for 2022, which will bolster the rebar and wire rod market. It is thought that rebar and wire rod prices in the Chinese domestic market will increase further in the coming week.

On March 7, rebar futures contract (rb2205) offers closed at RMB 5,094/mt ($802.2/mt) at Shanghai Futures Exchange, up RMB 401/mt ($63.2/mt) or by 8.54 percent compared to February 28. Since Friday. March 4, rebar futures have added RMB 193/mt ($30/mt).

Average domestic rebar and wire rod prices in China's main markets are presented in the tables below.  

Rebar prices in local markets

All prices include 13 percent VAT and all prices are ex-warehouse.

 Wire rod prices in local markets

All prices include 13 percent VAT and all prices are ex-warehouse.

$1 = RMB 6.3478