This week (2021.6.11-6.18), China's domestic
hot-rolled plates and coils market prices fluctuated downward. The average price of 3.0mm hot-rolled coils in 24 major markets across the country was 5609 yuan/ton, down 80 yuan/ton from last week; the average price of 4.75mm hot-rolled coils was 5522 yuan/ton, down 82 yuan/ton from last week Ton.
East China market: Shanghai hot-rolled coil market prices fluctuated downward this week. As of press time, mainstream prices for 1500mm carbon steel coils are 5500-5520 yuan/ton, and 1800mm wide coils are quoted at 5750-5770 yuan/ton. The mainstream price of low alloy 1500mm is 5670-5690 yuan/ton, and the price of 1800mm low alloy is 5740-5760 yuan/ton. At the beginning of this week, the cargo market fell sharply, the spot market mentality was relatively pessimistic, the quotations of merchants fell sharply, and the overall market transactions were average. The goods rebounded in the second half of the cycle, and the spot market confidence was boosted. Merchants' quotations rose slightly. Low-level transactions were acceptable, but high-level transactions were relatively weak. At present, market demand is still weak, and downstream purchases are basically on-demand, and speculative demand for goods is not strong. The output of steel mills remained at a high level, inventories continued to rise, merchants still focused on shipments, and short-term price increases were relatively weak. On the whole, it is expected that the Shanghai hot rolled market prices may fluctuate and run weakly next week.
South China market: hot-rolled plates and coils prices in Guangzhou market fluctuated downward this week, and demand was average. At present, the price of common coils above 4.75mm in leading steel mills is 5380-5400 yuan/ton, and the price of low-alloy coils is between 5530-5550 yuan/ton. The price of hot coils in Guangzhou has dropped by 140-150 yuan/ton from last week. As for the market, at the beginning of the week, driven by the weakening of the price volatility of the futures volume, the market mentality was slack, and most of the quotations followed the downward trend. Although the price rebounded near the end of the week, the decline was still relatively small compared to the whole week. In terms of transactions, although the current electricity curtailment order in the region has been relaxed, under the declining market situation, and considering the poor order acceptance by the downstream, the recent downstream procurement has been cautious, and the actual transaction performance of the market throughout the week was poor. In terms of resources, with the arrival of new resources, this week's hot coil spot inventory has increased. According to the same caliber, the current local hot coil inventory is about 640,500 tons, an increase of about 13,700 tons from last week. On the whole, due to the current weak downstream demand, local hot coil prices are expected to remain volatile and weak next week.
North China market: This week, the market price of
hot rolled coils in the Beijing-Tianjin-Hebei region continued to fall after the Dragon Boat Festival. The overall terminal demand was weak, the market mostly traded at low levels, and the stock was obviously tired, and the overall market price fell. Among them, the hot coil price in Tianjin decreased by 60 yuan/ton from last week, the price of hot coil in Beijing decreased by 40 yuan/ton from last week, the price of hot coil in Tangshan increased by 60 yuan/ton from last week, and the price of hot coil in Handan was lower than last week. A drop of 40 yuan/ton, Shijiazhuang hot coil prices rose 40 yuan/ton from last week. From a month-on-year perspective, the price of hot coils in Beijing-Tianjin-Hebei dropped by RMB 600-690/ton from the previous month. From a year-on-year perspective, the price of hot coils in the Beijing-Tianjin-Hebei region was RMB 1,760-1910/ton higher than the same period last year. In terms of the market, the cargo market continued to fluctuate this cycle, spot sales, prices continued to decline, downstream wait-and-see and other declines, transactions were weak, and most of them were shipments at reduced prices. In terms of inventory, the hot coil inventory in Handan increased by 23,900 tons compared with last week, the hot coil inventory in Tangshan was flat compared with last week, the hot coil inventory in Beijing was flat compared with last week, and the hot coil inventory in Tianjin increased by 13,900 tons compared with last week. Coil inventory increased by 2 million tons from last week. In terms of steel mills, among the 24 production lines of 16 hot-rolled coil sample steel mills in the Beijing-Tianjin-Hebei region, 19 production lines were in production this week. The overall operating rate of the steel plants in the Beijing-Tianjin-Hebei region was 79.17%, the actual weekly output was 1,166,700 tons, and the capacity utilization rate was 84.03%. The actual weekly output and capacity utilization rate were the same as last week. In-plant inventory was 370,000 tons, a decrease of 14,000 tons from last week. Overall, the price of hot rolls may continue to decline next week.
