Posted on 22 Sep 2022
Shagang Group, the leading privately-owned steel producer headquartered in East China's Jiangsu province, has decided to roll over its rebar list prices for sales over September 21-30, the company announced on Wednesday morning.
The latest policy thus put an end to the steel giant's string of rebar price cuts for the prior two sales periods by Yuan 300/tonne ($42.8/t) in total, Mysteel Global noted.
Specifically, Shagang's list price for HRB400 16-25mm dia rebar remains at Yuan 4,200/t, that for HPB300 6-10mm high-speed wire rod at Yuan 4,310/t, and its HRB400 8-10mm bar-in-coil price at Yuan 4,400/t, all in terms of EXW and including the 13% VAT.
As of September 20, Mysteel's assessment showed the price of HRB400E 20mm dia rebar in Shanghai, a major market for Shagang's products, declined by Yuan 80/t from that on September 9 to reach Yuan 3,930/t and including the 13% VAT.
Consequently, its price spread against Shagang's corresponding rebar list price had widened to Yuan 270/t from Yuan 190/t on September 9, Mysteel Global noted.
An industry watcher in Shanghai observed that current market sentiment was rather cautious, given the slow recovery in steel demand while pressure from the steel supply side remained high.
For example, the daily trading volume of construction steel comprising rebar, wire rod and bar-in-coil among 237 Chinese trading houses under Mysteel's survey averaged just 157,556 tonnes/day during mid-September, or 13,477 t/d or 7.9% lower than the previous 10-day average.
Source:Mysteel Global
