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| China's Ansteel Ups June Domestic Prices Of Flat Products |
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China's Anshan Iron & Steel Group Corp (Ansteel) applies price increases to all the flat products in its notice to domestic customers on the company's price terms of various steel products for June shipments, it was learned in Tokyo Wednesday. The price increases are thought to have followed domestic market prices on the rise. The price increases of main flat products by the ton are Yn360 (US$53) for HR coils, Yn350 (US$51) for CR coils, and Yn300 (US$44) for hot-dip galvanized sheets. As a result, the new price of HR coils is settled at Yn3,639/ton after value-added tax. The new price translates into a level of US$456/ton before VAT. By comparison, China's current domestic market for HR coils is assessed at Yn3,600/ton. Among China's major integrated steelmakers, Baosteel Co Ltd have reduced its domestic price of HR coils by Yn200/ton (US$29) for June shipments, while Wuhan Iron & Steel Group Corp have kept all its domestic prices unchanged except a CR coil markup of Yn50/ton (US$7) for the corresponding shipments. Both companies' price terms of June shipments are believed to have stemmed from the judgment that domestic transaction prices of various steel products are on track to bottom out on the whole. China's domestic steel market prices have gone up by Yn100-200/ton (US$15-30) for various products since the middle of May. Besides, the going market prices differ from Ansteel's May sales prices by the equivalent of as much as US$50-60/ton. As a result, speculation was afloat that Ansteel would execute price increases of various products for June shipments. With Ansteel's price increases for June shipments, there is a predominant view that Baosteel will respond accordingly in what the company charges for July shipments, according to market sources. |
| last modified : Tue 26 May, 2009 [10:39] |
