During the past week ending August 10, average Chinese domestic rebar prices have edged up slightly amid increasing rebar futures prices and some easing of the oversupply issue. But these increases have been minimal as demand has been even lower due to Typhoon Dolphin hitting Zhejiang Province.
The average rebar price has increased by RMB 10/mt ($1.5/mt) compared to August 3, while the average 6.5 mm HPB 300 wire rod price has also risen by RMB 10/mt ($1.5/mt). Rebar prices have decreased by RMB 3/mt ($0.44/mt) compared to the previous trading day, August 7.
During the given week, rebar and wire rod prices in the Chinese domestic market have edged up slightly amid low outputs due to the maintenance works carried out by steelmakers. However, demand for rebar and wire rod has also been at low levels due to the negative impact of Typhoon Dolphin and high temperatures. Inventories of rebar and wire rod have continued to increase, exerting a negative impact on prices. Typhoon Dolphin has hit Zhejiang Province, resulting in widespread rainy weather and disruptions of transportation and construction activities in many regions, which will negatively affect the rebar and wire rod market. It is thought that rebar and wire rod prices in the Chinese domestic market will move sideways with a weak bias in the coming week. If demand improves after the typhoon, and if production reductions bolster market sentiments, then rebar and wire rod prices in the Chinese domestic market may rebound in late August.
As of August 10, rebar futures at Shanghai Futures Exchange are standing at RMB 2,997/mt ($438/mt), increasing by RMB 21/mt ($3.1/mt) or 0.7 percent since August 3, while decreasing by 0.43 percent compared to the previous trading day, August 3.
Average domestic rebar and wire rod prices in China's main markets are presented in the tables below.
Rebar prices in local markets
| Spec. (mm) - Category | City | Price (RMB/mt) | Price ($/mt) |
Weekly change (RMB/mt) |
Weekly change ($/mt) |
| 25 - HRB400 | Beijing | 3,050 | 449.3 | 0 | 0.1 |
| Guangzhou | 3,320 | 489.1 | 10 | 1.6 | |
| Shanghai | 3,050 | 449.3 | 20 | 3.1 | |
| Average price | 3,140.0 | 462.6 | 10 | 1.6 |
All prices include 13 percent VAT and all prices are ex-warehouse.
Wire rod prices in local markets
| Spec. (mm) - Category | City | Price (RMB/mt) |
Price ($/mt) | Weekly change (RMB/mt) |
Weekly change ($/mt) |
| 6.5 - HPB300 | Beijing | 3,640 | 536.2 | 0 | 0.2 |
| Guangzhou | 3,620 | 533.3 | 10 | 1.6 | |
| Shanghai | 3,530 | 520.0 | 20 | 3.1 | |
| Average price | 3,596.7 | 529.9 | 10 | 1.6 | |
| 8 - HPB300 | Beijing | 3,420 | 503.8 | 0 | 0.1 |
| Guangzhou | 3,560 | 524.5 | 10 | 1.6 | |
| Shanghai | 3,310 | 487.6 | 20 | 3.1 | |
| Average price | 3,430.0 | 505.3 | 10 | 1.6 |
All prices include 13 percent VAT and all prices are ex-warehouse.
$1 = RMB 6.7884
