Pessimism prevails in sluggish Chinese domestic semi-finished steel market

Tuesday, 01 December 2015 14:18:56 (GMT+3)   |   Shanghai
       

During the week ending December 1, domestic prices of semi-finished steel in China have continued their declining trend, while transaction activity in the overall market has been at low levels. Average prices of steel billet and slab in the local Chinese market are presented in the table below.

During the given week, participants in the domestic semi-finished steel market are mostly pessimistic on the future prospects for the market, with buyers only placing a few orders for their immediate needs, forcing steelmakers to lower their semi-finished sales prices. Finished steel prices have indicated significant declines, reducing the profit margins for semi-finished steel producers. Meanwhile, iron ore prices have edged down, also weakening support for semi-finished prices. It is thought that semi-finished steel prices in the Chinese domestic market will continue their decreasing trend in the coming week.

 

Product Name

Spec.

Category

City

Price (RMB/mt)

Price ($/mt)

Weekly Change (RMB/mt)

Billet

12 mm x 12 mm

Q195-Q235

Tangshan

1,500

234

↓80

Jinzhong

1,500

234

↓50

Fuzhou

1,550

242

↓70

Jiangyin

1,600

250

↓30

Average price

1,538

240

↓58

Billet

12 mm x 12 mm

20 MnSi

Tangshan

1,600

250

↓80

Jinzhong

1,600

250

↓50

Fuzhou

1,650

258

↓70

Jiangyin

1,700

266

↓30

Average price

1,638

256

↓58

Slab

250*1800*6000

Q235

Tangshan,Hebei

1,550

242

↓50

 

The above prices include 17 percent VAT.


$1 = RMB 6.40


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