Average scrap prices in the Chinese domestic market have fluctuated within a limited range compared to the prices recorded on November 26, but the negative pressure on scrap prices is expected to rise by the end of the month with an expected decline in demand and the anticipated weaker competitiveness of scrap.
Average domestic HMS scrap prices in China are at RMB 2,126/mt ex-warehouse, decreasing by RMB 1/mt on average compared to November 26, 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 | 2,225 | 314.3 | 10 | 1.6 |
| Liupanshui,Guizhou | 1,960 | 276.9 | -35 | -4.8 | ||
| Nanchang,Jiangxi | 2,100 | 296.7 | 20 | 3.0 | ||
| Handan,Hebei | 2,160 | 305.1 | 0 | 0.2 | ||
| Anyang,Henan | 2,160 | 305.1 | 0 | 0.2 | ||
| Zhangjiagang,Jiangsu | 2,140 | 302.3 | 0 | 0.2 | ||
| Jinan,Shandong | 2,140 | 302.3 | 0 | 0.2 | ||
| Average | 2,126 | 300.4 | -1 | 0.1 | ||
| Note: Prices include 3 percent VAT as of March 1 2022. | ||||||
During the given week, the overall scrap market presented a mixed situation of bullish and bearish factors. Demand for steel has been sluggish during the traditional cold winter off-season, exerting a negative impact on the scrap market. More maintenance works will carried out by steelmakers up to the end of the year, while the anticipated declines in coke prices may weaken the competitiveness of scrap, weakening the support for scrap prices. On the other hand, the relatively tight supply of scrap will bolster its prices to a certain degree. It is expected that scrap prices in the Chinese domestic market will fluctuate within a limited range in the coming week.
$1 = RMB 7.0754
