China Steel Price 10/03/2021

Rebar: On March 10, the average price of 20mm grade 3 rebar in 25 major cities across the country was 4,696 yuan/ton, down 43 yuan/ton from the previous trading day. Domestic construction steel prices continued to fall in the morning on the 10th. As the decline slowed in the afternoon, low-level resources in some regions stopped falling. On the whole, considering the drag of raw material varieties, the finished products are still under pressure to adjust. At the same time, the spot is still in the stage of gradual recovery in demand. It is recommended to continue to pay attention to the recovery of demand and fluctuations in raw materials. It is expected that short-term spot prices will continue to be weak.

Hot-rolled coils: On March 10, the average price of 4.75mm hot-rolled coils in 24 major cities across the country was 4,895 yuan/ton, down 45 yuan/ton from the previous trading day. Spot market quotations fell slightly in the morning on the 10th, but merchants basically did not appear to bid for shipments, prices stabilized, market prices did not change much in the afternoon, and speculative demand at low levels in the market was active. On the whole, although prices have fallen due to the impact of raw materials, the overall fundamentals of finished products have not changed much, and short-term prices are unlikely to continue to break down, or they will continue to fluctuate.

Cold-rolled coil: On March 10, the average price of 1.0mm cold-rolled coil in 24 major cities across the country was 5,661 yuan/ton, down 33 yuan/ton from the previous trading day. In the market, stricter environmental protection has dragged down demand expectations, iron ore fell sharply, and raw material support was weak. In terms of transactions, the demand for cold rolling was not as expected, and end customers purchased on-demand. On the whole, it is expected that domestic cold-rolled prices will be mainly affected by fluctuations in the short-term.

Medium and heavy plates: On March 10, the average price of 20mm common plates in 24 major cities across the country was 4934 yuan/ton, down 29 yuan/ton from the previous trading day. In terms of the market, spot prices fell weakly on the 10th, downstream users' procurement progress was tightened, overall transactions were not good, the market feared high risks, merchants were pessimistic, and most merchants had poor daily transactions. In terms of mentality, as far as the market outlook is concerned, most businesses adopt a fast-forward and fast-out sales model, and are pessimistic about the later market. On the whole, it is expected that the short-term plate prices may be adjusted mainly due to weakness.

Imported ore: On March 10, the imported iron ore market was operating weakly. On the 10th, Qingdao Port 61.5% Australian PB fines reported 1110 yuan/ton, unchanged from the previous trading day; 62.5% PB lump ore reported 1505 yuan/ton, down 15 yuan/ton from the previous trading day.

Coke: On March 10, the domestic coke market stabilized after falling. On the supply side, coke companies are more enthusiastic in production, and new production capacity has been released one after another. Some regions have been affected by environmental protection policies during the two sessions and have stopped loading and unloading. However, the downstream market has low purchasing enthusiasm and shipments are blocked, and coke companies have varying degrees of storage; In terms of demand, the Tangshan region of Hebei issued a first-level red warning, and environmental protection has been tightened again, which may have a certain impact on steel production. The current coke arrival situation is good, the coke inventory in the factory is still on the upward trend, and the purchase demand has weakened. It is expected that the coke market will maintain a weak operation in the short term.

Scrap steel: On March 10, the average price of scrap steel in 45 major markets across the country was 2,996 yuan/ton, which was 1 yuan/ton lower than the price of the previous trading day. The recent market volatility has been large, and the scrap market has improved. However, the scrap market still has tight resources and strong fundamentals. Therefore, the scrap market has been adjusted downwards, and it is difficult to form a continuous decline in accordance with the changes in the mood of the finished product market. The market price of scrap steel is expected to consolidate in the short-term.