Chinese Domestic Billet Market Update, 04 Mar'20

Yesterday the ex-mill tax-inclusive price of general carbon billet in Tangshan, Changli, and Qian'an was settled at RMB 3,080/MT, up RMB 40; Today, the steel market is basically stabilized. Transactions on billets are modest on the whole while prices of finished steel tend to slip slightly with modest transactions. Mill's direct delivery is smooth. The warehouse spot is mainly offered at RMB 3,150/MT tax-inclusive with cautious transactions. The billet inventory at warehouses of Xiangyu Zhengfeng, Haiyi Hongrun, Wuchan Zhenxiang, and Sumec Xincheng totaled 1.028 MnT, down 10,400 MT from day earlier; the overall transactions on finished steel are somewhat weak and it is expected that billet price in the afternoon may keep unchanged.