Xinhua Silk Road - Belt and Road Portal, China's silk road economic belt and 21st Century Maritime Silk Road Website Xinhua Silk Road - Belt and Road Portal, China's silk road economic belt and 21st Century Maritime Silk Road Website
Subscribe CustomBlackClose

Belt & Road Weekly Subscription Form

download_pop

Research ReportCustomBlackClose

The full edition of the report is available at Xinhua Silk Road Database. You can click the “Table of Content” to have a general understanding of it.

Click on the button below to create your account and get immediate access to thousands of articles.

Start a Free Trial

Xinhua Silk Road Database
Industry

China's steel prices to maintain strong in short term on rising demand

February 25, 2019


Abstract : Steel prices in China will likely maintain strong in the short term due to the recovery in downstream demand, said some industry insiders.

BEIJING, Feb. 25 (Xinhua) -- Steel prices in China will likely maintain strong in the short term due to the recovery in downstream demand, said some industry insiders.

The domestic steel prices showed a V-shape last week. Specifically, at the beginning of the week, due to poor weather conditions in some areas, some downstream construction sites had not started normally. The relatively slow in demand recovery and the rising inventories weighed on the steel prices. Near the weekend, the steel futures generally rebounded and some mainstream steel mills also showed the willingness to prop up prices, which pushed up the steel prices, according to the latest market report provided by Mysteel, a domestic steel information provider.

The report showed that in the construction steel market, the average price of mainstream rebar varieties in major cities nationwide was 3,982 yuan/metric ton (tonne) last week, down 27 yuan/tonne on a week-on-week basis. In the plate market, the average price of mainstream hot-rolled coil products in major cities was 3,823 yuan/tonne, up 12 yuan/tonne on a week-on-week basis.

Relevant institutions believed that the recent steel prices have approached the cost line of the steels for storage in winter. Meanwhile, some steel mills have recently raised the ex-factory prices of steel products, which made the traders reluctant to lower steel prices. Generally, the production enthusiasm of steel mills is normal; indicating the space for production growth is limited.

Industry insiders note that after the Chinese Lantern Festival (February 19), downstream demands will continue to recover.

In terms of the iron ore market, some still mills purchased ores, according to their demands, and the iron ore prices were relatively weak. As for the imported iron ores, the prices fell slightly. By February 22, the price of imported iron ore at 62-percent grade was 86.70 U.S. dollars/tonne, down 1.1 U.S. dollars/tonne on a week-on-week basis. (Edited by Hu Pingchao, hupingchao@xinhua.org)

Scan the QR code and push it to your mobile phone

Keyword: China-steel

Write to Us belt & road login close

Do you want to be a contributor to Xinhua Silk Road and tell us your Belt & Road story? Send your articles to [email protected] and share your stories with more people.

Click on the button below to create your account and get im http://img.silkroad.news.cn/templates/silkroad/en2017te access to thousands of articles.

Start a Free Trial

Ask Us A Question belt & road login close

If you have any questions, please enter them in the box below.

Identifying code Reload

Write to Us belt & road login close

Do you want to be a contributor to Xinhua Silk Road and tell us your Belt & Road story? Send your articles to silkroadweekly@xinhua.org and share your stories with more people.

Click on the button below to create your account and get im http://img.silkroad.news.cn/templates/silkroad/en2017te access to thousands of articles.

Start a Free Trial