It is reported that scrap market now start to climb in East China after a period of firm operation. Some steelmakers in Jiangsu Province raise purchase prices twice within three days.

1. Xigang Group has pulled up prices by accumulatively CNY 100 per tonne with price standing at CNY 4060 per tonne delivered to mill for high quality scrap

2. Wuxi Xuefeng by CNY 100 per tonne, CNY 4050 per tonne for charging quality scraps 1

3. Suzhou Steel by CNY 100 per tonne, CNY 3950 per tonne delivered to mill for heavy scrap 1

4. Changzhou Zhongtian by CNY 110 per tonne, CNY 4040 per tonne delivered to mill for charging-quality scrap.

5. Yonggang also hikes price by CNY 100 per tonne. Latest purchase price is offered at CNY 4120 per tonne for heavy scrap.

As per report purchase price offered by Baosteel has reached CNY 4200 per tonne for quality scrap in Wuxi. Traders thus intend to raise prices for other steelmakers. Besides, buyers are now on the hip and have to pull up prices to replenish resources.

On the other hand, besides local market, scrap resources in Jiangsu also feed traders from Fujian, Hunan, Hubei and so on. As supply becomes tight and busy season for agriculture in southern regions steps near, traders are likely to scramble for resources in South China but cross-provinces shipments will stay at a low level due to high costs.

(Sourced from MySteel.net)