Average scrap prices in the Chinese domestic market have moved down compared to the previous week as the futures-driven rebound seen last week has been short-lived.
Average domestic HMS scrap prices in China are at RMB 2,464/mt ex-warehouse, decreasing by RMB 79/mt on average compared to 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 |
2,545 |
358.7 |
-60 |
-8.6 |
|
Liupanshui, Guizhou |
2,350 |
331.2 |
-100 |
-14.2 |
||
|
Nanchang, Jiangxi |
2,420 |
341.0 |
-20 |
-2.9 |
||
|
Handan, Hebei |
2,545 |
358.7 |
-50 |
-7.1 |
||
|
Anyang, Henan |
2,390 |
336.8 |
-120 |
-17.0 |
||
|
Zhangjiagang, Jiangsu |
2,545 |
358.7 |
-50 |
-7.1 |
||
|
Jinan, Shandong |
2,450 |
345.3 |
-150 |
-21.2 |
||
|
Average |
2,464 |
347.2 |
-79 |
-11.2 |
||
|
Note: Prices include 3 percent VAT as of March 1 2022. |
||||||
During the given week, scrap prices in the Chinese domestic market have moved down influenced by the decision of China’s largest private steelmaker, Jiangsu-based Shagang Group, to further decrease its scrap purchase price by RMB 50/mt ($7/mt) on March 30. Finished steel prices have also indicated a downward trend, exerting a negative impact on scrap purchase prices. Steelmakers’ profitability is not so good currently, which will negatively affect the scrap market. It is thought that scrap prices in the Chinese domestic market will fluctuate within a limited range in the coming week.
The latest tradable ex-Japan HS scrap prices have been heard at $345-350/mt CFR, down by $10/mt over the week.
$1 = RMB 7.0949