Chinese HRC prices downward
2015-03-31 09:42:08 [Print]
BEIJING (Asian Metal) 31 Mar 15 - Prices for HRC in China’s major cities turn to move downward because of the decreasing price trend in futures market and the weak downstream demand. About the coming market, traders show little confidence.
An HRC trader in Tianjin reveals to Asian Metal that the current price for Q235 5.5mm*1,500mm*C from Zhongtie Steel is RMB2,450/t (USD395/t), down by RMB20/t (USD3/t) over last trading day.
On Monday, prices for steel billet in North China fell by RMB20/t (USD3/t), offering no support to the finished steel market. At the same time, the downstream demand turns to be mild after the release last week. With more new materials arriving at port from mills at the beginning of April, traders feel it hard to take an optimistic attitude towards the coming market.
Another HRC trader in Shanghai offers RMB2,470/t (USD398/t) for Q235 5.5mm*1,500mm*C from Rizhao Steel, falling by RMB30/t (USD5/t) over last Friday.
Noted by him, spot materials for above grades from Bengang Steel were not available at the end of the month. With 3,000t of new products arrived at port from Yanshan Steel and Rizhao Steel last weekend, the trader still can offer spot materials with specifications in the full range. “Now the market price is almost equal to purchase cost, but I can only choose to give discounts to accomplish the sales target,” he says.
Another HRC trader in Guangzhou quotes RMB2,700/t (USD435/t) for the above grade from Liuzhou Steel, down by RMB20/t (USD3/t) over last day.
According to the statistical data, the current market inventory for HRC is about 651,000t in major warehouses last weekend, down by 24,000t on a weekly basis. However, as more new materials will arrive next week, traders are likely to give more discounts. At the same time, prices for main contracts in the futures market keep decreasing, weakening traders' confidence.
An HRC trader in Tianjin reveals to Asian Metal that the current price for Q235 5.5mm*1,500mm*C from Zhongtie Steel is RMB2,450/t (USD395/t), down by RMB20/t (USD3/t) over last trading day.
On Monday, prices for steel billet in North China fell by RMB20/t (USD3/t), offering no support to the finished steel market. At the same time, the downstream demand turns to be mild after the release last week. With more new materials arriving at port from mills at the beginning of April, traders feel it hard to take an optimistic attitude towards the coming market.
Another HRC trader in Shanghai offers RMB2,470/t (USD398/t) for Q235 5.5mm*1,500mm*C from Rizhao Steel, falling by RMB30/t (USD5/t) over last Friday.
Noted by him, spot materials for above grades from Bengang Steel were not available at the end of the month. With 3,000t of new products arrived at port from Yanshan Steel and Rizhao Steel last weekend, the trader still can offer spot materials with specifications in the full range. “Now the market price is almost equal to purchase cost, but I can only choose to give discounts to accomplish the sales target,” he says.
Another HRC trader in Guangzhou quotes RMB2,700/t (USD435/t) for the above grade from Liuzhou Steel, down by RMB20/t (USD3/t) over last day.
According to the statistical data, the current market inventory for HRC is about 651,000t in major warehouses last weekend, down by 24,000t on a weekly basis. However, as more new materials will arrive next week, traders are likely to give more discounts. At the same time, prices for main contracts in the futures market keep decreasing, weakening traders' confidence.
