On April 26, Jiangsu-based Shagang Group, China’s largest private steelmaker, announced another decrease in its scrap purchase price. This time, the company has cut its scrap purchase price by RMB 50/mt ($7.2/mt), signaling bearish sentiments as regards the future prospects for the scrap market.
Accordingly, Shagang’s heavy scrap (heavy I,II,III) purchase prices decreased to RMB 2,930/mt ($423.4/mt), RMB 2,900/m ($419/mt) and RMB 2,870/mt ($415/mt) delivered, including 13 percent VAT.
Rebar futures prices have seen continuous declines, negatively affecting the scrap market.
$1 = RMB 6.9237