According to China's National Bureau of Statistics, in the period from January 6 to January 20 this year the ex-mill prices of the key industrial products in China followed an upward trend, with only cement prices indicating a decline, all compared to the corresponding period in December 2010 (Dec. 6-20).
In January 6-20, iron ore prices in China continued their rising trend, while medium and large steelmakers increased their ex-mill steel prices, as compared to the December 6-20 period.
Data from China's National Bureau of Statistics reveal that in January 6-20 ex-mill common carbon steel prices in China increased by 2.0-2.2 percent month on month, ex-mill prices of small wire rod sizes increased by 1.6-4.5 percent month on month, ex-mill rebar prices rose by 1.6 percent month on month, while iron ore of 56 percent and above Fe grade increased by 0.3 percent month on month.
Meanwhile, in the period in question, copper prices were up 1.1 percent, while aluminum ingot prices rose by 0.9 percent, both on month-on-month basis. Influenced by the cold weather and increased traffic ahead of the Chinese New Year holiday, oil consumption for heating and transportation increased in the given period.
In the January 6-20 period, the average ex-works price of crude oil in China was RMB 4,099.9/mt. In the same period, the average hard coal price was RMB 500/mt ($76/mt), up 0.7 percent month on month, with the average coking coal price at RMB 655.7/mt ($100/mt), up two percent month on month.
In 2011, the Chinese government plans to regulate the real estate market, with a property tax to be published soon. In this context, market players express concerns about the prices of construction materials. Average ex-mill cement prices in China in the January 6-20 period were in the range of RMB 308.1-408.9/mt ($49-62/mt), down 2.1-5 percent month on month.
Note - The above data have been taken from key enterprises in 20 provinces in China. The crude oil price was taken from five key companies in the provinces of Heilongjiang, Shandong and Xinjiang.