- Rising inventories weigh on local steel prices
- Softer raw material trends pressure market
Chinese billet prices declined by RMB 10/t ($1/t) to RMB 3,050/t ($448/t) on 21 May, while rebar futures edged lower by RMB 2/t (less than one) to RMB 3,149/t ($463/t). Market sentiment remained under pressure amid expectations of higher steel output, sluggish downstream demand, and weaker seasonal construction activity due to rainy weather.
Rising inventories and softer raw material trends, including weaker iron ore and coal sentiment, also weighed on prices. Market participants noted that domestic steel prices continued adjusting lower as demand lost momentum towards the month-end. Meanwhile, billet export offers from China were heard at around $490/t FOB.
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