Average scrap prices in the Chinese domestic market have continued to fluctuate within a limited range compared to the prices recorded on November 27, similar to the trend in the steel market.
Average domestic HMS scrap prices in China are at RMB 2,288/mt ex-warehouse, increasing by RMB 9/mt average compared to 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 scrap |
> 6 mm |
Tianjin |
2,460 |
341.7 |
+20 |
+2.4 |
Liupanshui, Guizhou |
2,185 |
303.5 |
0 |
-0.4 |
||
Nanchang, Jiangxi |
2,190 |
304.2 |
+30 |
+3.8 |
||
Handan, Hebei |
2,370 |
329.2 |
0 |
-0.4 |
||
Anyang, Henan |
2,235 |
310.4 |
-35 |
-5.3 |
||
Zhangjiagang, Jiangsu |
2,340 |
325.0 |
+50 |
+6.5 |
||
Jinan, Shandong |
2,235 |
310.4 |
0 |
-0.4 |
||
Average |
2,288 |
317.8 |
+9 |
+0.9 |
||
Note: Prices include 3 percent VAT as of March 1 2022. |
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During the given week, scrap prices in the Chinese domestic market have continued to fluctuate within a limited range. The supply of scrap has been tight, bolstering prices to a certain degree. As the end of the year is approaching, steelmakers may need to build up stocks for the winter, which will provide support for prices. However, the weak demand for finished steel will weaken the support for scrap prices. Cautious sentiments have started to affect players in scrap market. It is thought that scrap prices in the Chinese domestic market may move sideways in the coming week.
The latest tradable ex-Japan HS scrap prices have been heard at $320-340/mt CFR, though some mills have billet asking for $310/mt CFR.
$1 = RMB 7.1934