On November 22, Jiangsu-based Shagang Group, China’s largest private steelmaker, announced a RMB 30-60/mt ($4.2-8.4/mt) decline in its scrap purchase price, following a RMB 30/mt decrease on November 12, signaling the continuous bearish sentiments as regards the future prospects for the scrap market. In November, Shagang Group has cut its scrap purchase price by RMB 90-120/mt accumulatively.
Accordingly, Shagang’s purchase prices for heavy melting scrap, HMS 1, 2 and 3 grades, have decreased to RMB 2,450/mt ($345/mt), RMB 2,420/m ($341/mt) and RMB 2,390/mt ($337/mt) delivered, including 13 percent VAT, respectively.
$1 = RMB 7.0847