Average scrap prices in the Chinese domestic market have fluctuated within a limited range compared to the prices recorded on December 17 as even demand has been slack, supply in winter has also been reduced.
Average domestic HMS scrap prices in China are at RMB 2,127/mt ex-warehouse, decreasing by RMB 1/mt on average compared to December 17, 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 | 2,175 | 308.4 | -20 | -2.5 |
| Liupanshui,Guizhou | 1,950 | 276.5 | 0 | 0.3 | ||
| Nanchang,Jiangxi | 2,130 | 302.0 | 20 | 3.2 | ||
| Handan,Hebei | 2,170 | 307.7 | 0 | 0.3 | ||
| Anyang,Henan | 2,140 | 303.5 | -20 | -2.5 | ||
| Zhangjiagang,Jiangsu | 2,175 | 308.4 | 10 | 1.8 | ||
| Jinan,Shandong | 2,150 | 304.9 | 0 | 0.3 | ||
| Average | 2,127 | 301.6 | -1 | 0.1 | ||
| Note: Prices include 3 percent VAT as of March 1 2022. | ||||||
During the given week, scrap prices in the Chinese domestic market have fluctuated within a limited range despite the rebounding finished steel prices. Steelmakers have been willing to produce, while their profitability has been at relatively low levels. The third round of declines in coke prices has been implemented as of December 22, reducing the production costs of molten iron, shrinking the cost advantage of scrap. Moreover, cautious sentiments prevailed among market players, exerting a negative impact on scrap prices. The supply of scrap has been tight, which bolstered its prices to a certain degree. It is thought that scrap prices in the Chinese domestic market will move sideways in the coming week.
$1 = RMB 7.0471
