This week Chinese steel market remained up with bullish market sentiments owing to strong demand in the domestic market.Re-bar and flat steel export offers have witnessed hike amid surge in domestic prices.Coking prices also gained the momentum and iron ore prices continues to remain on higher side.
Chinese spot iron ore prices climb amid rise in futures – Benchmark index in China for Fe 62% fines moved up amid rise in ferrous futures. However towards weekend it closed to USD 78/MT, CFR China Spot lump premium increased to USD 0.203/MT and pellet premium increased by USD 2/MT to USD 31.5/DMT, CFR China. Iron ore inventory at Chinese major ports fell by 1.8 MnT W-o-W to 135.2 MnT.
Coking Coal prices crossed the levels of USD 200/MT,CFR basis-Coking coal prices has crossed the levels of USD 200/MT ,CFR India in the wake of strong demand and higher domestic prices in Chinese steel market.Also Imported Coking coal prices recorded the increase of USD 2/MT on FoB basis.The latest offer for the Premium HCC is assessed at USD 194.5/MT FoB Australia against USD 192.5/MT, FoB compared with previous week.
Chinese domestic billet prices increased further – Chinese domestic billet prices fell towards the end of this week to RMB 3,770/MT (ex-works). Billet export prices are witnessing hike owing to improved demand and shortage of billet in global market. Chinese billet export assessment was around USD 525/MT, FoB.
China’s HRC export offers rose sharply by USD 15-20/MT – Chinese HRC export offers continues to rise further and have reached to the peak levels of USD 545-550/MT,FoB basis.Nation has surged HRC export offers by USD 115-116/MT in last 70 days on higher domestic prices.Currently HRC commercial grade ASTM A36 export offers are prevailing in the range of USD 545-551/MT, FoB China.CRC export offers are heard in the range of USD 585-600/MT.
Chinese Re-bar export offers rises further by USD 5-10/MT-Chinese re-bar export offers witness the rise of USD 5-10/MT in the backdrop of higher prices in domestic market.The fresh offers are assessed at USD 555-560/MT FoB main port.Increased production cost and active buying in billet market resulted in rise in Chinese export offers
Steel Raw Material & Finished Steel Prices in China
| Particulars | Currency | Current Prices |
1 W | 1 M |
| Spot Iron Ore Fines Fe 62%, CNF China |
USD | 78 | 75 | 67 |
| Iron Ore Concentrate in Hebei Province, Fe 66% (ex works) |
RMB | 725 | 705 | 665 |
| Met Coke, 64%, FoB China | USD | 310 | 303.5 | 282.5 |
| Chinese Domestic Billet, ex-works |
RMB | 3,770 | 3,850 | 3,470 |
| Billet 150*150 mm, FoB China |
USD | 525 | 515 | 461 |
| HRC, FoB China | USD | 550 | 535 | 490 |
| CRC, FoB China | USD | 600 | 565 | 520 |
| Rebar, FoB China | USD | 555 | 550 | 478 |
Prices in USD/MT
Source-SteelMint Research
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