Average scrap prices in the Chinese domestic market have moved sideways compared to June 26 as futures prices have rebounded, but both demand and supply of scrap have remained at reduced levels.
Average domestic HMS scrap prices in China are at RMB 2,506/mt ex-warehouse, increasing by RMB 1/mt 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 scrap |
> 6 mm |
Tianjin |
2,585 |
362.6 |
-20 |
-3.1 |
Liupanshui,Guizhou |
2,450 |
343.7 |
0 |
-0.3 |
||
Nanchang,Jiangxi |
2,410 |
338.1 |
-20 |
-3.1 |
||
Handan,Hebei |
2,565 |
359.8 |
0 |
-0.3 |
||
Anyang,Henan |
2,450 |
343.7 |
10 |
1.1 |
||
Zhangjiagang,Jiangsu |
2,545 |
357.0 |
0 |
-0.3 |
||
Jinan,Shandong |
2,540 |
356.3 |
40 |
5.3 |
||
Average |
2,506 |
351.6 |
1 |
-0.1 |
||
Note: Prices include 3 percent VAT as of March 1 2022. |
||||||
During the given week, ferrous metal futures prices have edged up slightly, bolstering scrap prices to a certain degree. However, demand for finished steel has been sluggish amid the hot weather and floods in many regions of China, so steelmakers have been unwilling to purchase scrap. Supply of scrap has been tight, which may provide support for prices. It is expected that scrap prices in the Chinese domestic market will fluctuate within a limited range in the coming week.
The latest ex-Japan HS scrap prices have been stable at $345-350/mt CFR.
$1 = RMB 7.1312