China’s Flat Products Export Offers Up, CIS Countries Prices Stable

Bullish sentiments in country’s domestic market lead to price gain in China’s flat products export prices.

This week, Chinese HRC and plates export offers have moved upwards by USD 20/MT amid gain in its domestic market. Whereas, CRC prices have remained unchanged.

Current offers for HRC (ASTM A36) are being assessed at USD 345-350/MT and commercial grade plates are at USD 335-340/MT, FoB basis. 1.0mm CRC (SPCC grade) export prices are at USD 380-385/MT, FoB China.

As per market sources, this gain in prices have come after the Chinese government recently announced its plans to expand country’s railway network, thus, boosting sentiments at a time of low stockpiles.

In the week ended June 24, Chinese steel stockpiles dropped for a fifth week, by 1.4% from the previous week to 8.84 MnT.

The restructuring announcement by Chinese steel majors, Baosteel and Wuhan Steel last week also spurred prices higher this week on hopes that a consolidation in China’s steel sector would improve efficiency.

However, this price gain is only sentiments driven and the country’s fundamental demand in the long term still remains weak.

CIS Countries Offers

Flat products offers from CIS countries remained stable this week. Current offers for HRC are assessed at USD 360-370/MT and CRC offers are at USD 400-405/MT, FoB Black Sea. Country’s plates offers are at USD 370-390/MT, FoB Black Sea.

India’s HRC export offers have remained stable this week at USD 390/MT, FoB India.

Flat Products Prices in Week 27: