Average scrap prices in the Chinese domestic market have seen small declines compared to the prices recorded on May 8 as the steel market has also softened a little, while scrap demand has been at stable to reduced levels.
Average domestic HMS scrap prices in China are at RMB 2,529/mt ex-warehouse, decreasing by RMB 6/mt on average compared to the previous week, according to SteelOrbis’ information.
Average scrap prices in China’s main markets are presented in the following table.
|
Product name |
Specification |
Origin |
Price |
Price |
Weekly change |
Weekly change |
|
HMS scrap |
> 6 mm |
Tianjin |
2,605 |
366.6 |
-20 |
-3.1 |
|
Liupanshui,Guizhou |
2,460 |
346.2 |
0 |
-0.2 |
||
|
Nanchang,Jiangxi |
2,480 |
349.0 |
-35 |
-5.2 |
||
|
Handan,Hebei |
2,595 |
365.2 |
-10 |
-1.7 |
||
|
Anyang,Henan |
2,510 |
353.3 |
40 |
5.4 |
||
|
Zhangjiagang,Jiangsu |
2,575 |
362.4 |
-10 |
-1.7 |
||
|
Jinan,Shandong |
2,480 |
349.0 |
-5 |
-1.0 |
||
|
Average |
2,529 |
356.0 |
-6 |
-1.1 |
||
|
Note: Prices include 3 percent VAT as of March 1 2022. |
||||||
During the given week, scrap prices in the Chinese domestic market have edged down amid decreasing ferrous metal futures prices and the lack of improvement in demand from downstream users. Steelmakers’ profitability has continued to shrink, exerting a negative impact on their willingness to conclude scrap purchases. Cautious sentiments have prevailed among market players, negatively influencing scrap prices. It is expected that scrap prices in the Chinese domestic market will edge down in the coming week.
The latest ex-Japan HS tradable scrap price in China has been at $350-355/mt CFR, versus $355/mt CFR last week, while offers have remained all at $370-375/mt CFR and above.
$1 = RMB 7.1049