Steel Plate Market Report August 2016
2016-09-02 14:07:01 【Print】
The following is a brief synopsis of the report. Your access is restricted as it is a subscription based service.
Please contact us for a subscription.
Please contact us for a subscription.
Prices for steel plate continued on an upward trend in August, boosted by the tight supply, as well as traders’ positive market expectations. Meanwhile, the market performance showed no signs of improving as a result of weak downstream demand, not helped by the high temperatures and continuous rainfall. With the country as a whole completing only 47% of the 45 million tonnes of yearly steel production capacity cuts targeted for the period from January to July, participants anticipated that central government might release more restrictive policies in the remainder of the year to force mills to reduce production. As a result, they became cautiously optimistic in their attitude regarding the market prospects. In addition, a sharp price increase in the HRC futures market also stimulated traders in the spot market to lift prices to a considerable extent. In the meantime, as domestic selling prices were around USD30/t higher than the export ones, mills preferred to sell within China rather than export. Insiders foresee a further price increase in September.
