Price fall slows down in Chinese longs steel market

Monday, 16 December 2019 15:48:33 (GMT+3)   |   Shanghai
       

During the week ending December 16, average prices of Chinese domestic rebar and wire rod have continued their downtrend, though the pace of the price decline has visibly slowed down. Transaction activity in the overall domestic rebar and wire rod market is still weak.

During a given week, the decreasing pace of rebar and wire rod prices has slowed down amid less pessimistic sentiment. In the first week of December, prices posted a $26-32/mt drop, while last week average rebar prices lost $11.2/mt, while wire rod prices have declined by $8.2/mt over the past week. Meanwhile, steelmakers’ rebar and wire rod outputs have decreased slightly. Approaching the end of the year, some steelmakers will implement maintenance works and others will halt production due to environmental measures, which will prevent sharp rises in output in the near future. However, cautious sentiment still prevails among market players. It is thought that rebar and wire rod prices will likely fluctuate within a limited range in the coming week.

Rebar futures prices in China have declined over the past week. On December 16, rebar futures contract (2001) offers closed at RMB 3,480/mt ($520.9/mt) at Shanghai Futures Exchange, down by 0.88 percent since December 9.

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 
($/mt)

Weekly change 
(RMB/mt)

Weekly change 
($/mt)

Rebar

25

HRB400

Beijing

Hebei Steel

3,580

512.0

-120

-13.5

Guangzhou

Shaoguan Steel

4,410

630.7

-140

-15.5

Shanghai

Shente

3,900

557.8

-60

-4.6

Average price

 -

3,963.3

566.8

-107

-11.2

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

 

 Wire rod prices in local markets

Product name

Specification (mm)

Category

City

Steel plant/place of origin

Price

(RMB/mt)

Price ($/mt)

Weekly

change (RMB/mt)

Weekly change 
($/mt)

Wire rod

6.5

HPB300

Beijing

Hebei Steel

4,340

620.7

-40

-1.4

Guangzhou

Shaoguan Steel

4,170

596.4

-110

-11.5

Shanghai

Shente Steel

4,010

573.5

-110

-11.6

Average price

 -

4,173.3

596.9

-87

-8.2

8

HPB300

Beijing

Hebei Steel

4,190

599.3

-40

-1.5

Guangzhou

Shaoguan Steel

4,110

587.8

-110

-11.5

Shanghai

Shente Steel

4,010

573.5

-110

-11.6

Average price

 -

4,103.3

586.9

-87

-8.2

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

$1 = RMB 6.992


Similar articles

Import longs offers in Romania now attractive, local prices stable

28 Mar | Longs and Billet

Turkey seeks to raise rebar export offers, demand mostly seen locally

27 Mar | Longs and Billet

Saudi Arabia’s Hadeed keeps local longs prices stable again for April

26 Mar | Longs and Billet

Iskenderun-based Turkish mill issues its longs prices

26 Mar | Longs and Billet

Local Chinese longs prices up $7-8/mt amid improved demand

25 Mar | Longs and Billet

Stocks of main finished steel products in China down 0.6 percent in mid-March

25 Mar | Steel News

Lebanese rebar market quiet while import prices drop

22 Mar | Longs and Billet

Iskenderun-based Turkish mill cuts longs prices as week ends

22 Mar | Longs and Billet

Partial stability in southern European longs market, Easter closures expected

22 Mar | Longs and Billet

Romanian longs prices stable amid ongoing optimism for demand

21 Mar | Longs and Billet