Steel prices in China are three- months low on less demand
Steel

Steel prices in China are three- months low on less demand

China is the world's largest user of steel, but sluggish demand from the country's construction industry caused steel prices to drop to a level below those of the previous three months. Rebar on the Shanghai Futures Exchange (SHFE) dropped to 3,471 yuan per metric tonne, the lowest price since April 8, by as much as 1.1%. At 3,478 yuan, the contract finished 0.9% down. According to recent statistics from China, the country's domestic demand is still recovering slowly, and data on building projects shows a double-digit percentage decline in the first five months of the year. The price of SHFE hot-rolled coil steel fell to 3,680 yuan per tonne, a level not seen since April 8. It closed at 3,681 yuan, down 0.7%. Steel shed 0.8% of SHFE wire rod. By 0700 GMT, the benchmark August iron ore contract on the Singapore Exchange had lost 3.4% to $107.70 a tonne, while the most traded September iron ore on China's Dalian Commodity Exchange (DCE) had fallen 1.8% to 813 yuan a tonne. Coke decreased 1.1% to 2,215 yuan, and DCE coking coal fell 2% to 1,531 yuan per tonne. Still, the price drop appears to be restricted. "The demand hasn't fully vanished, despite its weakness. Thus, any price decline won't be unduly significant, especially because much of the pessimism has already been priced, a trader stated.According to the trader, the supporting levels for the contracts for hot-rolled coil and SHFE rebar are 3,600 and 3,360 yuan, respectively. Market participants have been eyeing China's key political meeting next week as they hope for supportive policies to boost demand for steel. "There might be some talks of boosting the economy, etc., but I think what the market is looking for are details," said the trader.

China is the world's largest user of steel, but sluggish demand from the country's construction industry caused steel prices to drop to a level below those of the previous three months. Rebar on the Shanghai Futures Exchange (SHFE) dropped to 3,471 yuan per metric tonne, the lowest price since April 8, by as much as 1.1%. At 3,478 yuan, the contract finished 0.9% down. According to recent statistics from China, the country's domestic demand is still recovering slowly, and data on building projects shows a double-digit percentage decline in the first five months of the year. The price of SHFE hot-rolled coil steel fell to 3,680 yuan per tonne, a level not seen since April 8. It closed at 3,681 yuan, down 0.7%. Steel shed 0.8% of SHFE wire rod. By 0700 GMT, the benchmark August iron ore contract on the Singapore Exchange had lost 3.4% to $107.70 a tonne, while the most traded September iron ore on China's Dalian Commodity Exchange (DCE) had fallen 1.8% to 813 yuan a tonne. Coke decreased 1.1% to 2,215 yuan, and DCE coking coal fell 2% to 1,531 yuan per tonne. Still, the price drop appears to be restricted. The demand hasn't fully vanished, despite its weakness. Thus, any price decline won't be unduly significant, especially because much of the pessimism has already been priced, a trader stated.According to the trader, the supporting levels for the contracts for hot-rolled coil and SHFE rebar are 3,600 and 3,360 yuan, respectively. Market participants have been eyeing China's key political meeting next week as they hope for supportive policies to boost demand for steel. There might be some talks of boosting the economy, etc., but I think what the market is looking for are details, said the trader.

Related Stories

Gold Stories

Next Story
Infrastructure Urban

Vedanta Metal Bazaar Expands to Global Markets

Vedanta Aluminium has expanded its digital e-commerce platform, Vedanta Metal Bazaar, to international markets, enabling overseas customers to order and purchase aluminium products online.The platform will now be available to buyers across Asia, Europe, Africa and the Americas, providing a digital gateway for export transactions with 24x7 access.In FY26, Vedanta Metal Bazaar processed transactions worth nearly $4.1 billion, or over Rs 380 billion, and fulfilled more than 23,000 orders. The platform is also used regularly by more than 550 MSMEs in India alongside large OEM customers.The export ..

Next Story
Infrastructure Urban

Ramky Infrastructure Q1 FY27 Revenue Rises 24.3%

Ramky Infrastructure Limited reported a 24.3% year-on-year increase in consolidated revenue from operations to Rs 471.2 crore for Q1 FY27, compared with Rs 3.79 billion in the corresponding quarter of FY26.Standalone revenue from operations rose 27.5% YoY to Rs 4.51 billion from Rs 3.54 billion, while total standalone income increased 35% to Rs 5.32 billion.Consolidated profit before tax stood at Rs 540.9 million during the quarter. The company highlighted a sharp sequential improvement compared with a pre-exceptional loss of Rs 190.1 million in Q4 FY26.Two of the three projects awarded during..

Next Story
Technology

LTTS Launches AgenticIQ AI Platform for Engineering

L&T Technology Services (LTTS) has launched AgenticIQ, an end-to-end agentic AI platform designed for engineering and manufacturing organisations.The platform is aimed at helping enterprises move beyond isolated AI pilots by enabling autonomous, multi-agent workflows across engineering, product development, manufacturing, industrial operations and customer experience.AgenticIQ is built on LTTS’ Engineering Intelligence portfolio and converts existing engineering capabilities into specialised, reusable AI agents. Its planning-first architecture is embedded into engineering and production ..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement