During the week ending January 15, Chinese domestic rebar and wire rod prices have continued to indicate significant decreases, while transaction activity in the overall domestic rebar and wire rod market has been at low levels. On January 15, rebar futures contract (1805) offers closed at RMB 3,802/mt ($591/mt) at Shanghai Futures Exchange, down RMB 16/mt week on week, though rising by $3/mt week on week due to the appreciation of the Chinese currency against the US dollar. Average domestic rebar and wire rod prices in China's main markets are presented in the tables below.
During the given week, the cold weather in China has exerted a negative impact on construction activities and on the rebar and wire rod market, while due to the approach of the Chinese New Year holiday demand has become weak and is unlikely to improve. At the same time, inventory levels in the spot market and held by steelmakers have increased. Most market participants are downbeat on the future prospects for the rebar and wire rod market. However, some support still exists for prices from the cost side. It is thought that rebar and wire rod prices in the Chinese domestic market will edge down, while narrow their declining range in the coming week.
Wire rod prices in local Chinese market
Product name |
Spec. |
Category |
City |
Steel plant/origin |
Price (RMB/mt) |
Price ($/mt) |
Change (RMB/mt) |
8 mm dia. |
HPB300 |
Shanghai |
Shente |
4,010 |
624 |
↓220 |
|
Beijing |
Hebei Steel |
4,640 |
722 |
↓50 |
|||
Guangzhou |
Shaoguan Steel |
4,160 |
647 |
↓440 |
|||
Average |
- |
4,270 |
664 |
↓237 |
|||
6.5 mm dia. |
HPB300 |
Shanghai |
Shente |
4,010 |
624 |
↓220 |
|
Beijing |
Hebei Steel |
4,680 |
728 |
↓50 |
|||
Guangzhou |
Shaoguan Steel |
4,190 |
652 |
↓440 |
|||
Average |
- |
4,293 |
668 |
↓237 |
All prices include 17 percent VAT and all prices are ex-warehouse
Rebar prices in local Chinese market
Product name |
Spec. |
Category |
City |
Steel plant/origin |
Price (RMB/mt) |
Price ($/mt) |
Change (RMB/mt) |
HRB400 Rebar |
20 mm dia. |
HRB400 |
Shanghai |
Shente |
3,760 |
585 |
↓160 |
Beijing |
Hebei Steel |
3,800 |
591 |
↓100 |
|||
Guangzhou |
Shaoguan Steel |
4,290 |
667 |
↓460 |
|||
Average |
- |
3,950 |
614 |
↓240 |
All prices include 17 percent VAT and all prices are ex-warehouse
$1 = RMB 6.50