Average scrap prices in the Chinese domestic market have edged up slightly compared to the prices recorded on May 14 amid firm demand and tight supply, but a further uptrend is questionable due to demand concerns.
Average domestic HMS scrap prices in China are at RMB 2,186/mt ex-warehouse, edging up by RMB 8/mt ($1.1/mt) on average compared to the previous week, according to SteelOrbis’ information.
Average scrap prices in China’s main markets are presented in the following table.
| Product name | Specification | Origin | Price (RMB/mt) |
Price ($/mt) |
Weekly change (RMB/mt) |
Weekly change ($/mt) |
HMS scrap |
> 6 mm | Tianjin | 2,300 | 319.8 | 0 | 0.3 |
| Liupanshui,Guizhou | 2,100 | 292.0 | 10 | 1.6 | ||
| Nanchang,Jiangxi | 2,100 | 292.0 | 0 | 0.2 | ||
| Handan,Hebei | 2,265 | 314.9 | 0 | 0.3 | ||
| Anyang,Henan | 2,215 | 307.9 | 25 | 3.7 | ||
| Zhangjiagang,Jiangsu | 2,190 | 304.5 | 0 | 0.3 | ||
| Jinan,Shandong | 2,130 | 296.1 | 20 | 3.0 | ||
| Average | 2,186 | 303.9 | 8 | 1.3 | ||
| Note: Prices include 3 percent VAT as of March 1 2022. | ||||||
During the given week, scrap prices have seen slight rises amid recent positive macroeconomic expectations and the rebounding trend in the steel market. Steelmakers’ profitability has improved, bolstering the demand for scrap, which has exerted a positive impact on prices. At the same time, there has been limited circulation of scrap in the market, also providing support for prices. However, the coming rainy weather may slacken the demand for scrap and weaken prices. It is expected that scrap prices in the Chinese domestic market will fluctuate within a limited range in the coming week.
$1 = RMB 7.1956