Chinese rebar prices slide
2024-03-08 08:24:10 [Print]
BEIJING (Asian Metal) 8 Mar 24 - Chinese rebar prices went down continuously these days on weak demand and the price decrease in futures market. The current mainstream prices of rebar HRB400E Φ20mm hover at RMB3,710-3,730/t (USD515-518/t) D/P in warehouse Tianjin and RMB3,650-3,670/t (USD507-510/t) D/P in warehouse Shanghai respectively, down by about RMB40/t (USD6/t) and RMB70/t (USD10/t) from early this week. Insiders expect Chinese rebar prices to go down further by RMB50/t (USD7/t) in the coming week.
A Tianjin-based rebar trader currently quotes RMB3,720/t (USD517/t) D/P in warehouse Tianjin without any concessions for rebar HRB400E Φ20mm, while he still insisted on RMB3,760/t (USD522/t) early this week. "We reduced the price by RMB40/t (USD6/t) this week dragged by customers' slow buying activities and the price decrease in futures market," said the trader, adding that the demand from downstream industries remains unsatisfactory at the moment and customers just purchase from hand to mouth. He sold about 100t on Thursday at RMB3,720/t (USD517/t) and around 120t on Monday at RMB3,760/t (USD522/t). The trader intends to decrease the price again and predicts that Chinese rebar prices would drop by another RMB50/t (USD7/t) in the coming week.
Based on the regular sales volume of about 5,000tpm, the trader just sold around 3,000t in February and expects the sales amount to rise to about 5,000t in March. With an inventory of about 1,000t in hand now, in line with last month, they sold around 60,000t in 2023 and about 8,000t in the first two months of this year.
A rebar distributor in Shanghai told the price of rebar HRB400E Φ20mm stands at RMB3,660/t (USD508/t) D/P in warehouse Shanghai with no concessions at present, while it was RMB3,730/t (USD518/t) early this week. "We also cut the price continuously these days dragged by customers' slow purchasing activities and the price decrease in futures market," said the trader, adding that the price already witnessed a total decrease of more than RMB200/t (USD28/t) after the Spring Festival holiday. He sold about 200t on Thursday at RMB3,660/t (USD508/t) and around 200t on Monday at RMB3,730/t (USD518/t). Seeing many customers just hold wait-and-see attitudes and place orders sparingly, the trader has the plan to further decrease the price and expects Chinese rebar prices to fall by another RMB50/t (USD7/t) in the coming week.
With a regular sales volume of about 30,000tpm, the trader only sold around 20,000t last month and anticipates the sales amount would increase to about 30,000t in March. Having an inventory of about 20,000t in hand now, up from around 15,000t last month, they sold about 350,000t in 2023 and around 50,000t in Jan-Feb of 2024.
A Tianjin-based rebar trader currently quotes RMB3,720/t (USD517/t) D/P in warehouse Tianjin without any concessions for rebar HRB400E Φ20mm, while he still insisted on RMB3,760/t (USD522/t) early this week. "We reduced the price by RMB40/t (USD6/t) this week dragged by customers' slow buying activities and the price decrease in futures market," said the trader, adding that the demand from downstream industries remains unsatisfactory at the moment and customers just purchase from hand to mouth. He sold about 100t on Thursday at RMB3,720/t (USD517/t) and around 120t on Monday at RMB3,760/t (USD522/t). The trader intends to decrease the price again and predicts that Chinese rebar prices would drop by another RMB50/t (USD7/t) in the coming week.
Based on the regular sales volume of about 5,000tpm, the trader just sold around 3,000t in February and expects the sales amount to rise to about 5,000t in March. With an inventory of about 1,000t in hand now, in line with last month, they sold around 60,000t in 2023 and about 8,000t in the first two months of this year.
A rebar distributor in Shanghai told the price of rebar HRB400E Φ20mm stands at RMB3,660/t (USD508/t) D/P in warehouse Shanghai with no concessions at present, while it was RMB3,730/t (USD518/t) early this week. "We also cut the price continuously these days dragged by customers' slow purchasing activities and the price decrease in futures market," said the trader, adding that the price already witnessed a total decrease of more than RMB200/t (USD28/t) after the Spring Festival holiday. He sold about 200t on Thursday at RMB3,660/t (USD508/t) and around 200t on Monday at RMB3,730/t (USD518/t). Seeing many customers just hold wait-and-see attitudes and place orders sparingly, the trader has the plan to further decrease the price and expects Chinese rebar prices to fall by another RMB50/t (USD7/t) in the coming week.
With a regular sales volume of about 30,000tpm, the trader only sold around 20,000t last month and anticipates the sales amount would increase to about 30,000t in March. Having an inventory of about 20,000t in hand now, up from around 15,000t last month, they sold about 350,000t in 2023 and around 50,000t in Jan-Feb of 2024.
