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|Rizhao Steel Offers Price Increase of HR Coils by $5|
|= For shipment of the latter half of January =|
According to information obtained by a source, China's Rizhao Steel seems to have offered an increase in prices of hot-rolled (HR) steel coils by $5 to $575 CFR for the remote regions for shipment of the latter half of January. Benxi Iron & Steel seems to have offered levelling off of prices. In China, inventories of customers are decreasing towards the end of this year, and such view is appearing that the balance of supply-demand may become tight in mid-February after Chinese New Year. If such balance is tightened, China's market prices of HR coils will rise naturally, and mills have to raise export prices. Foreseeing it, Rizhao Steel is predicted to have taken a step of a slight increase in prices for shipment of the latter half of January.|
In China, environmental restrictions have been strengthened. Restrictions have been enhanced not only to blast furnace mills and electric furnace mills but also to steel processors. In addition, production curtailment in winter has started. Under the circumstances, steel output is seen to decrease largely in future while demand for steel products is strong. Accordingly, customers will become in a state to have to decrease own inventories.
Customers are seen not to replenish inventory soon due to a decrease in cash on hand towards the end of this year but as from new year, funds are to begin to flow, customers' purchasing will for steel products is supposed to appear before Chinese New Year.
In the remote regions and the Asian region, many of negotiations on HR coils for shipment of the first half of January have been advanced at the same prices for December shipment. The Japanese mills will implement an increase in prices in such additional negotiations for shipment of the latter half of January.
|last modified : Fri 08 Dec, 2017 [09:52]|