Wuhan Steel rolls over March prices for commercial HRC, CRC
Wuhan Steel (Wugang), a major flats producer in central China, said it would roll over its list prices for commercial-grade hot rolled coil and cold rolled coil for March delivery.
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As a result, the mill’s list price for Q235 5.5mm HRC will remain at 3,370 yuan ($552) per tonne, and SPCC 1.0mm CRC at 4,220 yuan ($691) per tonne, the mill said on Friday February 14. Both prices are on an ex-works basis and exclude 17% VAT.
Meanwhile, the steelmaker plans to raise its price for higher-grade CRC by 50 yuan ($8) per tonne and hot-dip galvanized coil by 100-220 yuan ($16-36) per tonne.
“I think Wugang’s latest pricing policy reflects the fact that its bookings from the auto sector remain relatively strong, which supported its move to hike prices for auto steel. It is still cautious about the outlook for commercial-grade HRC and CRC,” a Beijing-based analyst told Steel First.
On Tuesday February 11, Baosteel decided to maintain its March HRC prices while lifting CRC prices, also because of a satisfactory order situation from auto clients.
China’s vehicle sales hit a record high of 2.156 million units in January of this year, an increase of 6% year-on-year and 1% month-on-month, according to data released by the China Association of Automotive Manufacturers on Thursday February 13.