Average scrap prices in the Chinese domestic market have moved down compared to the prices recorded on August 27 due to slow demand and the rather negative situation in the steel market.
Average domestic HMS scrap prices in China are at RMB 2,191/mt ex-warehouse, edging down by RMB 35/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 (RMB/mt) |
Price ($/mt) |
Weekly change (RMB/mt) |
Weekly change ($/mt) |
HMS |
> 6 mm | Tianjin | 2,265 | 318.6 | -20 | -2.4 |
| Liupanshui,Guizhou | 2,055 | 289.1 | -45 | -5.9 | ||
| Nanchang,Jiangxi | 2,150 | 302.4 | -45 | -5.9 | ||
| Handan,Hebei | 2,280 | 320.7 | -20 | -2.4 | ||
| Anyang,Henan | 2,245 | 315.8 | -20 | -2.4 | ||
| Zhangjiagang,Jiangsu | 2,140 | 301.0 | -45 | -5.9 | ||
| Jinan,Shandong | 2,205 | 310.2 | -50 | -6.6 | ||
| Average | 2,191 | 308.3 | -35 | -4.5 | ||
| Note: Prices include 3 percent VAT as of March 1 2022. | ||||||
During the given week, scrap prices in the Chinese domestic market have moved down amid the prevailing wait-and-see stance among market players. On September 2, Jiangsu Province-based Shagang Group cut its scrap purchase price by RMB 50/mt ($7/mt), weakening the support for the scrap market. However, the supply of scrap has been tight, bolstering prices to a certain degree. Lately, finished steel prices have moved down as production did not fall as expected, exerting a negative impact on the scrap market. It is thought that scrap prices in the Chinese domestic market will fluctuate within a limited range in the coming week.
$1 = RMB 7.1108