During the week ending July 1, prices in the main local steel scrap markets in China have remained on a stable trend, while transaction activity in the market is still poor. Average scrap prices in the local Chinese market can be viewed in the SteelOrbis price reports section.
In the given week, steelmakers have tried to lower their purchase prices for scrap, while traders have resisted making reductions in their sales prices, and this situation has contributed to the slack transaction activity in the market. Although iron ore prices have halted their downtrend, thereby providing some support for the scrap market, both steelmakers and traders are experiencing tightness of liquidity, which prevents scrap prices from moving up. Meanwhile, no significant improvement has been seen in demand in the finished steel market. It is expected that scrap prices in the Chinese domestic market will move sideways in the coming week.