Chinese Domestic Billet Market Witness Increase

Billet: Yesterday the ex-mill tax inclusive price of general carbon billet in Tangshan, Changli and Qian'an was settled at RMB 3,110/MT, up RMB 10. However, today, during afternoon, the ex-mill price of general carbon billet in Changli area dropped down RMB 20 to report RMB 3,090/MT, cash including tax. Today, steel market tends to be stabilized with modest transactions on billet on the whole after the hike while prices of finished steels trend weak. Mill direct delivery are modest. The warehouse spot is mainly offered at RMB 3,170-3,190/MT tax inclusive with a few transactions on low-cost resources and hesitant on higher offers. The billet inventory at warehouses of Xiangyu zhengfeng, Haiyi Hongrun, Wuchan Zhenxiang and Sumec Xincheng totaled 1.0061 MnT, up 25,400 MT from day earlier; traders are tentatively hiking finished steel prices though the overall transactions are weak. It is expected that billet price in the afternoon may remain stable.

Last week, Chinese domestic billet market was settled at RMB 3,010/MT, down RMB 290/MT against Lunar holidays closing.