After the cut in interest rates by 25 basis points the Chinese steel market ironically maintained corrective course.
Dousing expectations of turnaround the market relapsed by an alarming 1% in during week. Please refer to our article in STT (Rate cut surprise yet to ruffle the market sentiments in China dt 7th July) we had diluted the expectation from any easing in the short run.
The reasons for the correction are as follows:
1. Over capacity leading to high inventory levels
2. Prolonged summer has led to low construction activity
3. Downstream finished product market in key economic sectors viz automobile , construction and infrastructure continues to languish
4. International economic situation remains ambivalent owing to slow progress in EU and slowdown in USA.
The Chinese Long Product Price Index CLPPI has gone down by 110 points last week whereas the Chinese Flat Products Index CFPPI has also gone down by 79 points. The overall price index CHISPI declined by 93 points.
| Class | 06-Jul | 13-Jul | Change | % |
| CLPPI | 7147 | 7037 | -110 | -1.5% |
| CFPPI | 6455 | 6376 | -79 | -1.2% |
| CHISPI | 6755 | 6662 | -93 | -1.4% |
CLPPI - Chinese Long Product Price Index
CFPPI - Chinese Flat Product Price Index
CHISPI - Chinese Steel Price Index
Long Products
| Category | 06-Jul | 13-Jul | Change | % |
| PI-WRC | 7073 | 6971 | -102 | -1.4% |
| PI-Rebar | 7236 | 7117 | -119 | -1.6% |
PI - Product Index
Flat Products
| Category | 06-Jul | 13-Jul | Change | % |
| PI-PLTS | 5765 | 5690 | -75 | -1.3% |
| PI-HR | 6614 | 6523 | -91 | -1.4% |
| PI-CR | 6490 | 6422 | -68 | -1.0% |
| PI-GP | 6520 | 6494 | -26 | -0.4% |
PI - Product Index
These indices have base of 10,000 as on July 1st 2008
To know more about these indices please visit
http://steelprices-china.com/spi_services/spi.html
1. Long products
Billets
150*150
Q235
| Location | CNY | USD |
| Shanghai | -50 | -8 |
| Jiangsu | -50 | -8 |
| Shandong | 0 | 0 |
| Fujian | 0 | 0 |
| Guangdong | -30 | -5 |
| Henan | -10 | -2 |
| Hebei | 10 | 2 |
| Shanxi | -30 | -5 |
| Liaoning | -20 | -3 |
| Yunnan | -20 | -3 |
Change is on July 13th as compared to 6th July 2012
Change is per tonne
WRC
6.5mm
High Speed
| Location | CNY | USD |
| Shanghai | -120 | -19 |
| Hangzhou | -80 | -13 |
| Nanjing | -80 | -13 |
| Wuxi | -80 | -13 |
| Jinan | 0 | 0 |
| Hefei | -70 | -11 |
| Fuzhou | -120 | -19 |
| Nanchang | -20 | -3 |
| Guangzhou | -50 | -8 |
| Nanning | -30 | -5 |
| Changsha | -30 | -5 |
| Wuhan | -110 | -17 |
| Zhengzhou | -100 | -16 |
| Beijing | -20 | -3 |
| Tianjin | -20 | -3 |
| Baotou | -70 | -11 |
| Shijiazhuang | -40 | -6 |
| Taiyuan | -80 | -13 |
| Shenyang | -40 | -6 |
| Changchun | -50 | -8 |
| Harbin | -20 | -3 |
| Chongqing | -50 | -8 |
| Chengdu | -110 | -17 |
| Guiyang | -70 | -11 |
| Kunming | -10 | -2 |
| Xian | -100 | -16 |
| Lanzhou | -50 | -8 |
| Urumchi | -30 | -5 |
Change is on July 13th as compared to 6th July 2012
Change is per tonne
Rebars
20mm
HRB 400
| Location | CNY | USD |
| Shanghai | -100 | -16 |
| Hangzhou | -70 | -11 |
| Nanjing | -50 | -8 |
| Wuxi | -60 | -9 |
| Jinan | -70 | -11 |
| Hefei | -60 | -9 |
| Fuzhou | -130 | -20 |
| Nanchang | -30 | -5 |
| Guangzhou | -80 | -13 |
| Nanning | -50 | -8 |
| Changsha | -90 | -14 |
| Wuhan | -70 | -11 |
| Zhengzhou | -60 | -9 |
| Beijing | -60 | -9 |
| Tianjin | -100 | -16 |
| Baotou | -30 | -5 |
| Shijiazhuang | -40 | -6 |
| Taiyuan | -110 | -17 |
| Shenyang | -30 | -5 |
| Changchun | -30 | -5 |
| Harbin | -20 | -3 |
| Chongqing | -50 | -8 |
| Chengdu | -80 | -13 |
| Guiyang | -100 | -16 |
| Kunming | -30 | -5 |
| Xian | -130 | -20 |
| Lanzhou | -110 | -17 |
| Urumchi | -30 | -5 |
Change is on July 13th as compared to 6th July 2012
Change is per tonne
Angle
#5
| Location | CNY | USD |
| Shanghai | -50 | -8 |
| Hangzhou | -60 | -9 |
| Nanjing | -70 | -11 |
| Wuxi | -40 | -6 |
| Jinan | -30 | -5 |
| Hefei | -40 | -6 |
| Fuzhou | -30 | -5 |
| Nanchang | -50 | -8 |
| Guangzhou | -40 | -6 |
| Nanning | -30 | -5 |
| Changsha | -20 | -3 |
| Wuhan | -30 | -5 |
| Zhengzhou | -20 | -3 |
| Beijing | -20 | -3 |
| Tianjin | 0 | 0 |
| Baotou | 0 | 0 |
| Shijiazhuang | -20 | -3 |
| Taiyuan | -30 | -5 |
| Shenyang | 0 | 0 |
| Changchun | 0 | 0 |
| Harbin | 0 | 0 |
| Chongqing | -50 | -8 |
| Chengdu | -60 | -9 |
| Guiyang | -50 | -8 |
| Kunming | 0 | 0 |
| Xian | -30 | -5 |
| Lanzhou | 0 | 0 |
| Urumchi | 0 | 0 |
Change is on July 13th as compared to 6th July 2012
Change is per tonne
Channel
#16
| Location | CNY | USD |
| Shanghai | -20 | -3 |
| Hangzhou | -60 | -9 |
| Nanjing | -70 | -11 |
| Wuxi | -40 | -6 |
| Jinan | 0 | 0 |
| Hefei | -40 | -6 |
| Fuzhou | -30 | -5 |
| Nanchang | -50 | -8 |
| Guangzhou | -30 | -5 |
| Nanning | -30 | -5 |
| Changsha | -20 | -3 |
| Wuhan | -30 | -5 |
| Zhengzhou | 0 | 0 |
| Beijing | 0 | 0 |
| Tianjin | 0 | 0 |
| Baotou | 0 | 0 |
| Shijiazhuang | 0 | 0 |
| Taiyuan | -50 | -8 |
| Shenyang | 0 | 0 |
| Changchun | 0 | 0 |
| Harbin | 0 | 0 |
| Chongqing | -30 | -5 |
| Chengdu | -50 | -8 |
| Guiyang | -50 | -8 |
| Kunming | 0 | 0 |
| Xian | -100 | -16 |
| Lanzhou | 0 | 0 |
| Urumchi | 0 | 0 |
Change is on July 13th as compared to 6th July 2012
Change is per tonne
Beam
#25
| Location | CNY | USD |
| Shanghai | 4070 | 637 |
| Hangzhou | -60 | -9 |
| Nanjing | -70 | -11 |
| Wuxi | -40 | -6 |
| Jinan | -30 | -5 |
| Hefei | -40 | -6 |
| Fuzhou | -20 | -3 |
| Nanchang | -50 | -8 |
| Guangzhou | 0 | 0 |
| Nanning | -30 | -5 |
| Changsha | -20 | -3 |
| Wuhan | -30 | -5 |
| Zhengzhou | -20 | -3 |
| Beijing | -10 | -2 |
| Tianjin | 0 | 0 |
| Baotou | 0 | 0 |
| Shijiazhuang | -20 | -3 |
| Taiyuan | -30 | -5 |
| Shenyang | 0 | 0 |
| Changchun | 0 | 0 |
| Harbin | 0 | 0 |
| Chongqing | -30 | -5 |
| Chengdu | -40 | -6 |
| Guiyang | -50 | -8 |
| Kunming | -50 | -8 |
| Xian | -100 | -16 |
| Lanzhou | 0 | 0 |
| Urumchi | 0 | 0 |
Change is on July 13th as compared to 6th July 2012
Change is per tonne
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Source - Steel Prices China
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