During the week ending September 23, average prices of Chinese domestic rebar and wire rod have mostly moved down, while transaction activity in the overall domestic rebar and wire rod market has been at low-to-medium levels.
On September 23, rebar futures contract (2001) offers closed at RMB 3,510/mt ($496/mt) at Shanghai Futures Exchange, down $8/mt week on week. Average domestic rebar and wire rod prices in China's main markets are presented in the tables below.
Rebar prices in local markets
|
Product name |
Specification (mm) |
Category |
City |
Steel plant/place of origin |
Price (RMB/mt) |
Price |
Weekly change |
Weekly change |
|
25 |
HRB400 |
Beijing |
Hebei Steel |
3,630 |
513.2 |
-50 |
-7.6 |
|
|
Guangzhou |
Shaoguan Steel |
4,080 |
576.8 |
-20 |
-3.4 |
|||
|
Shanghai |
Shente |
3,750 |
530.2 |
0 |
-0.5 |
|||
|
Average price |
- |
3,820 |
540.1 |
-23 |
-3.8 |
All prices include 13 percent VAT and all prices are ex-warehouse.
Wire rod prices in local market
|
Product name |
Specification (mm) |
Category |
City |
Steel plant/place of origin |
Price (RMB/mt) |
Price ($/mt) |
Weekly change (RMB/mt) |
Weekly change |
|
6.5 |
HPB300 |
Beijing |
Hebei Steel |
4,600 |
650.4 |
-30 |
-4.9 |
|
|
Guangzhou |
Shaoguan Steel |
4,180 |
591.0 |
-30 |
-4.8 |
|||
|
Shanghai |
Shente Steel |
4,050 |
572.6 |
0 |
-0.6 |
|||
|
Average price |
- |
4,276.7 |
604.6 |
-20 |
-3.4 |
|||
|
8 |
HPB300 |
Beijing |
Hebei Steel |
4,450 |
629.2 |
-30 |
-4.9 |
|
|
Guangzhou |
Shaoguan Steel |
4,130 |
583.9 |
-30 |
-4.8 |
|||
|
Shanghai |
Shente Steel |
4,050 |
572.6 |
0 |
-0.6 |
|||
|
Average price |
- |
4,210 |
595.2 |
-20 |
-3.43 |
All prices include 13 percent VAT and all prices are ex-warehouse.
Following the Mid-Autumn Day holiday, bearish sentiment has prevailed among players in the domestic long steel market. However, due to further production restriction measures, rebar futures prices on September 23 have seen a rise of 3.6 percent compared to September 20, boosting market players’ sentiments again, and so the rebar and wire rod price trend may undergo a reversal in the near future.
Meanwhile, Shagang Group, China’s largest private steelmaker, has kept its ex-works prices for rebar and wire rod stable for September 21-30, which is positive news for the market trend during the remaining part of September. It is expected that rebar and wire rod prices in the Chinese domestic market will likely switch to a slight uptrend in the coming week.
$1=RMB 7.073