Uptrend reverses in ex-China CRC prices on futures drop

Wednesday, 18 December 2024 16:07:49 (GMT+3)   |   Shanghai

Following the rises in export offer prices recorded last week, this week ex-China cold rolled coil (CRC) prices have edged down slightly following the declining trend in HRC futures prices and declines in local CRC quotes.

At present, export offers for CRC from China are in a range of around $545-570/mt FOB, for end-January shipment, down by $5/mt week on week. Meanwhile, the tradable levels for ex-China CRC have been heard at $535-550/mt FOB, versus the range of $540-555/mt FOB recorded last week.

During the given week, CRC prices in the Chinese domestic market have edged up first while moving down later as market players reacted mildly to China’s announcement of implementing a “moderately loose” monetary policy in 2025. Actually, market sentiments improved amid the influence of economic conference last week, while the slack demand from downstream users negatively affected the CRC market. CRC producers reduced production initially, bolstering its prices to a certain degree. However, market players mostly held cautious sentiments and have been unwilling to build up high stocks by the end of the year, aiming to avoid risks. It is thought that CRC prices in the Chinese domestic market will fluctuate within a limited range in the coming week.

Average domestic 1.0 mm cold rolled coil spot prices in China are at RMB 3,870/mt ($538/mt) ex-warehouse, edging down by RMB 23/mt ($3.2/mt) compared to December 11, according to SteelOrbis’ information. 

As of December 18, HRC futures at the Shanghai Futures Exchange are standing at RMB 3,450/mt ($480/mt), decreasing by RMB 111/mt ($15.4/mt) or 3.1 percent since December 11, while down 1.20 percent compared to the previous trading day, December 17. 

$1 = RMB 7.188


Tags: Crc Flats China Far East 

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