December 03, 2008

Chinese plate export prices continue up surge

It is reported that export offer for Chinese steel plate has been continuously on the rise, reflecting the strength of domestic market and super strong demand in overseas countries. Besides, the increase is speeding up and as a result, there has been an additional rise of USD 100 per tonne during merely two weeks.

Mysteel said that on Shanghai market, commercial 20mm plate by Yingkou Steel is being quoted at CNY 6050 per tonne CNY 6080 per tonne, while that by tier two steel mills is tagged at CNY 5700 per tonne. Low alloyed 40mm plate has jumped to CNY 6620 per tonne. Taking price for 20mm plate by Yingkou Steel as benchmark, the short term upward target is CNY 6250 per tonne.

Export prices have seen another increase of USD 20 per tonne to USD 30 per tonne this week and some steel producers have seized the opportunity to realize substantial rise.

A North West China based steel maker is offering SS400 14mm to 25mm SS400 plate at USD 1060 per tonne CFR as base for shipments to South Korea. Whilst the quotation for CCSA/B grade ship plate has jumped to USD 1200 per tonne CFR for the same destination. But some tier two steel mills in North China are quoting at lower level of USD 980 per tonne FOB to USD 1020 per tonne FOB which is believed to catch up soon.

(Sourced from MySteel.net)