Local Chinese rebar and wire rod prices mostly move down

During the week ending May 13, 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 May 13, rebar futures contract (1910) offers closed at RMB 3,691/mt ($537/mt) at Shanghai Futures Exchange, down $16/mt week on week. Average domestic rebar and wire rod prices in China's main markets are presented in the tables below.  

During the given week, ferrous metal futures prices in China have moved down after the Labor Day holiday due to the US announcing tariff hikes for Chinese commodities, exerting a negative impact on rebar and wire rod prices in the domestic spot market. At the same time, demand has been slack, while rebar and wire rod outputs have continued to increase, with these factors weakening the support for rebar and wire rod prices. Since there have been plenty of supplies arriving in eastern China, inventories have increased, dragging down prices there more sharply. Market players are now more cautious as regards the future prospects for the market due to the coming off-season. It is expected that rebar and wire rod prices in the Chinese domestic market will decline in the coming week.

Wire rod prices in local Chinese market

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

Rebar prices in local Chinese market

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

$1 = RMB 6.88