Chinese billet prices are currently hovering at 2-month high level. In today’s trade, prices have incremented further by INR 70/MT (USD 11) to RMB 2,100/MT (USD 323) against yesterday’s price of RMB 2,030/MT (USD 312). The current level was last seen on 5 Apr’16. All prices are including 17% VAT.
In the beginning of Jun’16, prices in Chinese domestic market started to boost up to a level and then remained stable in the mid of the month. However, offers are currently assessed at positive side and hovering in the range of RMB 1,960-2,100/MT (USD 302-323) since last week.
Speculation of production cut by 45 MnT among market participants and government’s recent plans for investment in infrastructural sector seem to be major reasons for rise in prices.
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