November 22, 2008

Chinese CR export price further increase

It is reported that export price for cold rolled coil has been raised again due to firm domestic price and robust overseas demand. The strength is expected to sustain in June.

On Shanghai market 1.0mm CR sheet by Anshan steel is being quoted at CNY 7480 per tonne, 1.2mm to 2.0mm material at USD 7400 per tonne down by CNY 30 per tonne from peak level in last week. 1.0 CR coil by Maanshan steel goes at CNY 7270 per tonne slight decrease of CNY 10 per tonne from last Friday.

Export price for 1.0mm CRC is prevailing at around USD 1150 per tonne to USD 1160 per tonne FOB and the updated level has been accepted at moment. There have been conclusions at USD 1140 per tonne FOB as base.

Shanghai based trader who has just signed contract for CRC exports said "We are really surprised at the market since we do not expect overseas buyers to accept the update price so soon. He said that as a matter of fact, only Europe and South America are regarded as popular export destinations at moment. Importers in other areas would not buy at such high level."

(Sourced from MySteel.net)