On December 30, Jiangsu-based Shagang Group, China’s largest private steelmaker, announced a rise in its scrap purchase price. Accordingly, the company has raised its scrap purchase price by RMB 50/mt ($7/mt), signaling a further improvement in sentiments as regards the future prospects for the scrap market.
Accordingly, Shagang’s purchase prices for heavy melting scrap, HMS 1, 2 and 3 grades, have increased to RMB 3,120/mt ($414/mt), RMB 3,090/m ($409.5/mt) and RMB 3,060/mt ($405/mt) delivered, including 13 percent VAT, respectively.
The limited supplies arriving in the market bolstered scrap prices to a certain degree.
$1 = RMB 7.077