Haihao Group keeps a close eye on raw material market trends

In the first half of March, the cold and hot rolled coil markets in the Shanghai region showed no signs of improvement. Taking specific varieties as examples, the price of 1.0mm cold rolled sheets produced by Angang Steel dropped from 4,810 yuan/ton on March 1st to 4,620 yuan/ton on March 20th, with a cumulative decrease of 190 yuan/ton. Similarly, the price of 5.5mm to 11.75mm × 1500mm × C hot rolled coils (Q235B) produced by Shougang and Angang Steel fell from 3,910 yuan/ton on March 1st to 3,830 yuan/ton on March 20th, with a cumulative decrease of 80 yuan/ton.

ASTM A860 and A105N steel plates

From the supply perspective, the capacity utilization rate of steel enterprises remains high. According to industry statistics, as of March 15th, the capacity utilization rate of 29 cold-rolled sheet production enterprises was 85.51%, an increase of 5.44% compared to the previous period and 5.94% year-on-year. During the same period, the actual weekly output of cold-rolled sheet production enterprises was 865,500 tons, an increase of 55,000 tons compared to the previous period and 60,100 tons year-on-year. Data from the National Bureau of Statistics shows that in the first two months of this year, China’s production of cold-rolled thin plates was 6.52 million tons, a year-on-year increase of 28.5%.

In terms of inventory, both social and factory inventories of steel are increasing. According to the China Iron and Steel Association, in early March, the inventory of steel products in key statistical steel companies was 19.524 million tons, an increase of 1.504 million tons compared to the previous ten-day period, up 8.35%; an increase of 3.392 million tons compared to early February, up 21.03%; and an increase of 1.82 million tons compared to the same period last year, up 10.28%. As of March 17th, among the steel inventories in 35 major markets nationwide, the inventory of hot-rolled coils was 3.5316 million tons, an increase of 23,500 tons compared to the previous week, with an increase of 0.67%; and the inventory of cold-rolled coils was 1.5781 million tons, an increase of 2,100 tons compared to the previous week, with an increase of 0.13%.

Haihao Group

Haihao Group is closely monitoring these developments in the raw material market to ensure that we stay informed about the latest trends. By staying vigilant and proactive, we aim to provide our clients with the most accurate and timely information, enabling them to make informed decisions and navigate the market with confidence. As a leading provider of industrial solutions, we are committed to delivering value and reliability to our clients, no matter the challenges posed by market fluctuations.