Jiangsu Province-based Shagang Group, China’s largest private steelmaker, has issued its list prices for all long steel products for May 11-20. Accordingly, the company has cut its offer prices for debar-in-coil and rebar by RMB 50/mt ($7.2/mt) and RMB 100/mt ($14.4/mt) to RMB 4,200/mt ($607/mt) and RMB 4,000/mt ($578/mt), respectively, though it has kept its price for high-speed wire rod stable at RMB 4,110/mt ($594/mt). All prices are on ex-works basis.
For the May 1-10 period, the producer had decreased its offer prices for high-speed wire rod, debar-in-coil and rebar by RMB 200/mt, RMB 200/mt and RMB 100/mt, respectively.
As of May 10, the average rebar price in the Chinese market was standing at RMB 3,817/mt ($551.6/mt) ex-warehouse, moving down by RMB 16/mt ($2.3/mt) or 0.4 percent from April 28, according to SteelOrbis’ data. Demand has not improved much, which has continued to put pressure on steelmakers, even though most of them have announced maintenance works or production cuts.
As of May 10, rebar futures prices at the Shanghai Future Exchange are standing at RMB 3,688/mt ($533/mt) ex-warehouse, moving up by RMB 28/mt ($4.0/mt) or 0.8 percent from April 28.
Prices include 13 percent VAT.
$1 = RMB 6.9101