On October 22, Jiangsu-based Shagang Group, China’s largest private steelmaker, announced a decrease in its scrap purchase price by RMB 30/mt ($4.2/mt), signaling cautious sentiments as regards the future prospects for the scrap market.
Accordingly, Shagang’s purchase prices for heavy melting scrap, HMS 1, 2 and 3 grades, have decreased to RMB 2,920/mt ($407/mt), RMB 2,890/m ($403/mt) and RMB 2,860/mt ($398/mt) delivered, including 13 percent VAT, respectively.
Bearish sentiments have prevailed among players in the steel market, exerting a negative impact on scrap prices.
$1 = RMB 7.1792