Average scrap prices in the Chinese domestic market have fluctuated within a limited range in the past week compared to the previous week, though some positive expectations exist.
Average domestic HMS scrap prices in China are at RMB 2,609/mt ex-warehouse, remaining stable on average compared to the previous week, according to SteelOrbis’ information.
Average scrap prices in China’s main markets are presented in the following table:
|
Product name |
Specification |
Origin |
Price |
Price |
Weekly change |
Weekly change |
|
HMS
|
> 6 mm
|
Tianjin |
2,700 |
375.1 |
0 |
-1.1 |
|
Liupanshui, Guizhou |
2,530 |
351.4 |
0 |
-1.1 |
||
|
Nanchang, Jiangxi |
2,585 |
359.1 |
+20 |
+1.7 |
||
|
Handan, Hebei |
2,680 |
372.3 |
-20 |
-3.9 |
||
|
Anyang, Henan |
2,655 |
368.8 |
0 |
-1.1 |
||
|
Zhangjiagang, Jiangsu |
2,615 |
363.2 |
+20 |
+1.7 |
||
|
Jinan, Shandong |
2,500 |
347.3 |
-15 |
-3.2 |
||
|
Average |
2,609 |
362.5 |
+1 |
-1.0 |
||
|
Note: Prices include 3 percent VAT as of March 1 2022. |
||||||
During the given week, scrap prices in the Chinese domestic market have fluctuated trend within a limited range. Inventory of scrap at some steelmakers has decreased, bolstering prices to some extent. Supply of scrap has been tight, exerting a positive impact on market sentiments. However, the anticipated control of crude steel outputs may weaken the support for scrap prices in the longer term. As the traditional peak season of September and October is approaching, demand for steel may improve, which will positively affect the demand for scrap. It is thought that scrap prices in the Chinese domestic market will likely edge up in September.
The latest ex-Japan HS scrap tradable price has remained at $375/mt CFR with the gap with offers at at least $25-35/mt.
$1 = RMB 7.1988