Trading activity still lackluster in Chinese domestic steel section market

In the past week, the Chinese domestic steel section market first declined but later moved back upwards.

In the Shanghai market, the price of 50 mm x 50 mm x 5 m steel angles is now at $682/mt (RMB 4,370/mt). The same product is sold at $646/mt (RMB 4,140/mt) in the Tangshan market and at $716/mt (RMB 4,590/mt) in the Guangzhou market. Meanwhile, prices of 160 mm x 65 mm x 8.5 mm steel channels stand at $676/mt (RMB 4,330/mt) in the Shanghai market, at $627/mt (RMB 4,020/mt) in Tangshan and at $732/mt (RMB 4,690/mt) in the Guangzhou market. In the Shanghai, Tangshan and Guangzhou markets, 250 mm x 118 mm x 10 m I-beam prices stand respectively at $658/mt (RMB 4,220/mt), $635/mt (RMB 4,070/mt) and $718/mt (RMB 4,600/mt). The prices are all ex-mill, including 17 percent VAT. Steel section prices in the Chinese domestic market can be viewed in the SteelOrbis price reports section.

As for billet, prices in the Chinese domestic market have moved on an upward trend during the past seven. In Tangshan, the current price of Q235 150 x 150 mm square billet is at RMB 3,580/mt ($558/mt), the price of 165 x 225 mm rectangular billet stands at RMB 3,600/mt ($562/mt), while the price of 20MnSi billet is at around RMB 3,700/mt ($577/mt). The prices are all ex-mill, including 17 percent VAT.

In the local Chinese steel section market, prices in some regional markets have declined slightly, while prices in other regions have increased, as compared to one week ago. Increases in rebar futures prices and billet prices have been the main factors providing support for steel section prices. Overall trading activity in the market is still at weak levels. It is believed that domestic steel section prices may fluctuate on a slight uptrend in the week ahead.

$1 = RMB 6.41