Chinese Domestic Steel Market Update, 21 Jun'19

Billet: Yesterday, the ex-factory price of general carbon billet in Tangshan, Changli and Qian'an was settled at RMB 3,460/MT up RMB 20. Today, the steel market runs weak with transactions on billet reduced while price of finished product remain stable. Mill direct sales are somewhat weak. The ex-warehouse spot is offered at RMB 3,540/MT tax inclusive with some transactions. The billet inventory at warehouses of Xiangyu Zhengfeng and Haiyi Hongrun is 323,200 MT, an increase of 10,200 MT. The overall trading of finished products is weak, and it is expected that the billets will either stable or falter by 10 in the afternoon.

Construction steel: Mainstream construction steel in Tangshan market is stable. The current market price of rebar HRB 400 of big specification is at RMB 3,720/MT, small specification at RMB 3,820/MT, while coiled rebar at RMB 4,010/MT. Transactions are weak.