Chinese cast iron market inactive
2023-04-28 08:04:48 [Print]
BEIJING (Asian Metal) 28 Apr 23 - Discouraged by falling prices of raw materials and reduced demand from buyers, Chinese cast iron market run slowly this week amid lower prices. The mainstream prices of cast iron Z18 stood at RMB3,430/t (USD495/t) and RMB3,300/t (USD477/t) EXW D/P respectively in Shandong and Shanxi this Thursday, both down by RMB50/t (USD7/t) from early this week. Due to the stagnant demand from downstream industries, insiders predict cast iron prices would edge down further in the coming week.
A trader in Jiangsu reported that his sales volume estimated to reach about 800t in April, down from 1,000t in March and down by around 50% YoY. "I got an offer of RMB3,450/t (USD498/t) EXW D/P from a producer in Shandong for cast iron Z18 this Thursday and he could accept bids no less than RMB3,430/t (USD495/t)," he said, adding that he last purchased around 60t of the material at RMB3,480/t (USD503/t) this Monday. Though the May Day holiday approaches, few end users replenished stocks as prices continued on the decline. As most market participants hold bearish sentiment for the coming market, he deemed that cast iron prices would fall slightly by around RMB20/t (USD3/t) in the coming week.
The company recorded a sales volume of almost 4,000t so far this year, against 20,000t in 2022. It has an inventory of about 200t at present, down by 200t from one month ago.
A producer in Lvliang, Shanxi confirms that cast iron market performed inactively in April. They have an inventory of nearly 20,000t at present, up by 10,000t from three weeks ago. They hold zero stock at the same time of last year. "We asked RMB3,350/t (USD484/t) EXW D/P for cast iron Z18 this Thursday and could accept a concession of RMB50/t (USD7/t) at most for firm bids," he stated, adding that he refused to accept bids below RMB3,350/t (USD484/t) this Monday and the price totally declined by around RMB200/t (USD29/t) in recent two weeks. As there remained few buying activities when prices kept downward, he is of the opinion that cast iron prices would soften further in the coming week.
Reporting an annual production capacity of 576,000t for cast iron, the company produced almost 65,000t of cast iron so far this year, against roughly 180,000t in 2022. It estimated the output would reach 18,000t in April, similar to March.
A trader in Jiangsu reported that his sales volume estimated to reach about 800t in April, down from 1,000t in March and down by around 50% YoY. "I got an offer of RMB3,450/t (USD498/t) EXW D/P from a producer in Shandong for cast iron Z18 this Thursday and he could accept bids no less than RMB3,430/t (USD495/t)," he said, adding that he last purchased around 60t of the material at RMB3,480/t (USD503/t) this Monday. Though the May Day holiday approaches, few end users replenished stocks as prices continued on the decline. As most market participants hold bearish sentiment for the coming market, he deemed that cast iron prices would fall slightly by around RMB20/t (USD3/t) in the coming week.
The company recorded a sales volume of almost 4,000t so far this year, against 20,000t in 2022. It has an inventory of about 200t at present, down by 200t from one month ago.
A producer in Lvliang, Shanxi confirms that cast iron market performed inactively in April. They have an inventory of nearly 20,000t at present, up by 10,000t from three weeks ago. They hold zero stock at the same time of last year. "We asked RMB3,350/t (USD484/t) EXW D/P for cast iron Z18 this Thursday and could accept a concession of RMB50/t (USD7/t) at most for firm bids," he stated, adding that he refused to accept bids below RMB3,350/t (USD484/t) this Monday and the price totally declined by around RMB200/t (USD29/t) in recent two weeks. As there remained few buying activities when prices kept downward, he is of the opinion that cast iron prices would soften further in the coming week.
Reporting an annual production capacity of 576,000t for cast iron, the company produced almost 65,000t of cast iron so far this year, against roughly 180,000t in 2022. It estimated the output would reach 18,000t in April, similar to March.
