There seems to be no stopping for price increase in China’s steel market post Lunar New Year Holidays in Feb. With increase in domestic demand coupled with production cuts and low inventories, domestic and export prices have surged by USD 100-120/MT.
Now market sources have confirmed that steel majors in the country have raised their products offers further for May deliveries.
Eastern China’s Baosteel have raised its mainstream flat products prices by RMB 150/MT (USD 23/MT). Last month the company had raised its prices by RMB 200/MT (USD 31/MT) for April deliveries.
Thus the effective rate in May’16 for HRC (5.5 mm) will be RMB 3,692/MT (USD 571/MT), for CRC it will be RMB 4,436/MT (USD 687/MT, hot-dip galvanized will be RMB 4,877/MT (USD 755/MT) and 14-20 mm plates will be RMB 2,550/MT (USD 395/MT). All prices are on ex-works basis excluding VAT.
Another steel majors like Benxi Steel and Heibi Steel have raised their flat products prices by USD 46-54/MT and USD 46-52/MT respectively while Wuhan Steel have increased their flat products prices by USD 40-46/MT.
Current Flat Products Prices of Chinese Steel Majors
| Steel Majors | HRC | CRC | Plates |
| Baosteel | RMB 3,692 (USD 571) | RMB 4,436 (USD 687) | USD 2,550 (USD 395) |
| Benxi Iron & Steel | RMB 2,790 (USD 431) | RMB 3,550 (USD 548) | – |
| Heibi Iron & Steel | RMB 3,650 (USD 563) | RMB 4,250 (USD 656) | RMB 3,530 (USD 545) |
| Wuhan Steel | RMB 2,880 (USD 445) | RMB 3,750 (USD 580) | RMB 2,990 (USD 462) |
*HRC: Q235, 5.5 mm
*CRC: SPCC, 1.0 mm
*Plates: Q235, 14-20 mm
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