Chinese Ansteel raises domestic HRC prices for July shipment

BEIJING (Scrap Monster): As per industry sources, the Chinese Anshan Iron and Steel (Ansteel ) has decided to raise its domestic prices of steel products for the month of July. According to the company, the hot rolled steel coil prices for July shipment will see price hike of CNY 80. At the same time, the prices of cold-rolled steel sheets and grain oriented electrical steel sheets will remain unchanged. Ansteel is yet to clarify on price hike on wire rods and steel plate products for the month of July.

The decision by Ansteel is quite contrary to those by two major Chinese mills- Baoshan Iron & Steel and Wuhan Iron and Steel, who had left the HR coil prices for July unchanged. Not only that Ansteel did not leave the prices, but they decided to increase the prices of HRC products. Milll sources indicate that Ansteel might have decided to raise the prices based on fears that supply of HR coils may be tightened in the near term.

Meanwhile, the second class and third class steel mills in the country have reduced their offering prices by $5 to $15 for July shipments during their negotiations with Middle East and the United States.

The hike in prices by Ansteel may see Japanese mills too seeking a rise during their negotiations for HR coil shipment to other Asian countries for the month of July.