Average scrap prices in the Chinese domestic market have moved up compared to the previous week, and also at a slightly faster pace, as supply has remained tight.
Average domestic HMS scrap prices in China are at RMB 2,700/mt ex-warehouse, increasing by RMB 54/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 (RMB/mt) |
Weekly change ($/mt) |
|
HMS scrap |
> 6 mm |
Tianjin |
2,740 |
386.1 |
+30 |
+4.3 |
|
Liupanshui, Guizhou |
2,670 |
376.2 |
+30 |
+4.3 |
||
|
Nanchang, Jiangxi |
2,630 |
370.6 |
0 |
+0.1 |
||
|
Handan, Hebei |
2,740 |
386.1 |
+40 |
+5.7 |
||
|
Anyang, Henan |
2,630 |
370.6 |
+35 |
+5.0 |
||
|
Zhangjiagang, Jiangsu |
2,730 |
384.7 |
+60 |
+8.5 |
||
|
Jinan, Shandong |
2,760 |
388.9 |
+180 |
+25.4 |
||
|
Average |
2,700 |
380.4 |
+54 |
+7.6 |
||
|
Note: Prices include 3 percent VAT as of March 1 2022. |
||||||
Major Chinese steelmaker Shagang Group increased its scrap prices by RMB 50/mt ($7/mt) again on December 26.
There has been a shortage of scrap supply in some regions of China, bolstering prices to a certain degree. At the same, finished steel prices have increased, providing firm support for scrap prices. Ferrous metal futures prices have increased in the given week, exerting a positive impact. It is thought that scrap prices in the Chinese domestic market will likely edge up further in the coming week.
The latest tradable level for ex-Japan HS has reached $385-387/mt CFR, up by $5-7/mt over the past week.
$1 = RMB 7.1002