Prices of hot-rolled coil in China’s domestic market edged lower on Tuesday July 27 and futures prices fell due to Covid-19 concerns and stock price tumbles weighing on market sentiment, sources told Fastmarkets.
A looming potential steel export tax, and more changes in value-added tax rebates for steel exports, are keeping export trades very thin, sources told Fastmarkets.
The international iron ore market is experiencing stagnant, bargain-free days due to environmental constraints, the Chinese government's entry into production and pricing, and floods and sandstorms in China. Steelmakers prefer to use low-grade iron ore, which puts pressure on the iron concentrate market. For this reason, price drops in this area are also possible.
Domestic prices for hot-rolled coil in China cruised higher on Friday July 23 after the country’s third-largest steelmaking province announced a ceiling for its crude steel output for 2021.
Hot-rolled coil prices across China’s domestic market edged lower on Friday July 16, while futures prices dropped to a one-week low following Beijing’s fresh pledge to ensure stable supply and prices for commodities.
China has resumed the dumping route, which it had abandoned for about two years, by offering cheap raw materials to its steel mills. This has created a great desire to produce in this country. Investors have hailed China's entry into the market as very real. This economic reform seems to be a win-win game for China and its steelmakers.
Seaborne coking coal prices stayed largely stable in the cfr market on Monday July 12 and climbed up in the fob market because some buyers started to procure on a demand basis, sources told Fastmarkets.
China’s domestic rebar market ended the week with increased prices in both eastern and northern regions, though prices were stable on Friday July 9.
Export prices for Chinese steel plate were stable in the week to Tuesday July 6, but market participants said they could soon increase following recent gains in the futures market.
Hot-rolled coil prices increased in China’s domestic market on Tuesday July 6, following gains in futures prices, while market participants continued to digest talks of production cuts.