Chinese Domestic Steel Market Update, 30 May'19

Billet: Yesterday, the ex-factory price of general billet in Tangshan, Changli and Qian'an was settled at RMB 3,590/MT, down RMB 10. In the early morning, the Changli area led a gain of RMB 10 to RMB 3,600/MT. The billets were traded weakly, and the finished product prices mainly remained stable. Mill direct sales are moderate. The ex-warehouse spot is offered at RMB 3,660/MT tax-inclusive with difficulty for transactions. The billet inventory at warehouses of Xiangyu Zhengfeng and Haiyi Hongrun is 210,500 MT, down 10,700 MT. The overall transaction of finished products is insufficient, and it is expected that the price of steel billets may stay stable in the afternoon.

Construction steel: The mainstream construction steel in Tangshan remained stable. Now the rebar HRB 400 of big specification is at RMB 3,960/MT, small specification at RMB 4,000/MT, while coiled rebar at RMB 4,040/MT. Transactions are passable.