This week Chinese steel market observed iron ore prices remaining range bound at USD 68-70/MT, CFR, stability in Re-bar export offers on account of weak demand but hike in flat steel export offers. Moreover coking coal prices have shown the surge owing to rise in demand by Chinese steelmakers.
Chinese spot iron ore prices remained range bound – Benchmark index in China for Fe 62% fines prices kept hovering in the range of USD 68-70/MT, CFR China. Lump premium remained stable at USD 0.22/DMT, CFR China. Pellet premium increased marginally to USD 30.5/DMT, CFR China. Iron ore inventory at Chinese major ports fell marginally to 140.15 MnT.
Coking Coal Price spurred on Positive buying by Chinese steelmakers-
Imported Coking coal prices recorded the increase of USD 10.25/MT on FoB basis in the wake of strong purchases by Chinese steelmakers.Prices of coking coal have shown the surge of USD 34.25/MT against USD 144.25/MT, FoB in beginning of Jun’17 on increased buying inquiries from China.
The latest offer for the Premium HCC is assessed at USD 178.50/MT FoB Australia against USD 168.25/MT, FoB compared with previous week.
Absence of Chinese billet continues in global market – Chinese domestic billet prices remained stable at RMB 3,470/MT. Global market continues to witness insufficient supply of Chinese billets. Billet export prices are witnessing hike owing to improved demand and shortage of billet in global market.
China’s flat steel export offers rises despite softening domestic market-Chinese HRC export offers witness steep rise of USD 17/MT,W-o-W basis despite softening of market sentiments in the domestic market.HRC export offers are prevailing in the range of USD 510/MT, FoB China. Meanwhile prices of HRC in domestic market are heard in the range of RMB 3,750-3,780/MT (ex-works). Chinese CRC export offers are in range of USD 540/MT, FoB basis.
Chinese Re-bar export offer stable amid weak Demand– Chinese re-bar export prices remained unaltered,W-o-W basis owing to weak demand on bad climatic conditions in the domestic market. Offers are heard around USD 480-485/MT, FoB China.Current spot prices are evaluated in East China, Shanghai at RMB 3,760/MT (USD 558) and North China, Beijing at RMB 3,690/MT (USD 547) on weekly basis.
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 | 68 | 67 | 65 |
| Iron Ore Concentrate in Hebei Province, Fe 66% (ex works) |
RMB | 665 | 665 | 635 |
| Met Coke, 64%, FoB China | USD | 291.5 | 282.5 | 255 |
| Chinese Domestic Billet, ex-works |
RMB | 3,470 | 3,460 | 3,180 |
| Billet 150*150 mm, FoB China |
USD | 470 | 460-470 | 430 |
| HRC, FoB China | USD | 505-510 | 490 | 455 |
| CRC, FoB China | USD | 530-535 | 520 | 485 |
| Rebar, FoB China | USD | 480-485 | 480 | 453 |
Prices per metric tonne
Source-SteelMint Research
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