Chinese Domestic Billet Market Update, 06 Dec'19

Billet: Yesterday, the ex-factory price of general carbon square billet in Tangshan and Changli was settled at RMB 3,460/MT, stable; today, steel market is in weak operation and transactions on billet is moderate while price of finished steel tends to decline. Mill direct sales are smooth. The ex-warehouse spot price is offered at around RMB 3,550-3,560/MT tax-included with some transactions on low-cost resources. The billet inventory at warehouses of Xianggu Zhengfeng and Haiyi Hongrun is 70,500 MT, down 400 MT from last working day. The overall transactions on finished steel is weak and it is expected that billet price in the afternoon may remain stable or slip by RMB 10.