Local Chinese rebar and wire rod prices move down in most regions

As of December 18, Chinese domestic rebar and wire rod prices have moved downwards in most regions of the country, though increasing in Guangzhou, week on week, while transaction activity in the overall domestic rebar and wire rod market has been at low-to-medium levels. On December 18, rebar futures contract (1805) offers closed at RMB 3,874/mt ($585/mt) at Shanghai Futures Exchange, down $6/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, cold weather has affected most regions of China, exerting a negative impact on demand for rebar and wire rod, resulting in price declines in most regions, though prices have risen in Guangzhou in southern China where the weather is still warm. Currently, inventory of rebar and wire rod in the spot market is at low levels, providing support for prices. Meanwhile, rebar futures prices in China declined during most of the week, negatively affecting the market, though they have moved upwards again in the past two trading days. As for the coming week, it is thought that rebar and wire rod prices in the Chinese domestic market will likely fluctuate within a limited range and may indicate diverse movements in the different regions depending on weather conditions.

Wire rod prices in local Chinese market

All prices include 17 percent VAT and all prices are ex-warehouse

Rebar prices in local Chinese market

All prices include 17 percent VAT and all prices are ex-warehouse

$1 = RMB 6.62