Domestic scrap steel market continues to operate strongly

Last week, the domestic scrap steel market continued to operate on the strong side, with merchants taking a wait-and-see attitude. The arrival of raw materials from the base decreased. Steel companies focused on stable procurement, and scrap steel consumption increased. Compared with the previous week, the average scrap purchase price of key steel companies increased by 29 yuan/ton for heavy scrap, 24 yuan/ton for medium scrap, and 13 yuan/ton for aggregate scrap.
Last week, the finished steel market was operating weakly, and the profits of steel companies were compressed. In order to avoid risks, scrap steel merchants maintained a low inventory status of fast in and fast out, and were less willing to stock up. At the same time, many places in the north have experienced widespread heavy snowfall, which has led to the closure of some highways and affected scrap steel transportation. The arrival of goods from some steel companies has been poor, and inventories are still low. As the price difference between hot metal and scrap steel widens, the cost-effectiveness of scrap steel production continues to improve, steel companies’ scrap steel consumption gradually increases, and scrap steel procurement is active. Taken together, under the situation of strong supply and demand, the domestic scrap steel market is expected to continue to maintain a narrow consolidation in the short term.
The scrap steel market in East China operates in a narrow and strong range, merchants are not willing to stock up, and the arrival of steel companies can meet consumption. The purchasing price of Nanjing Iron & Steel heavy scrap steel is 2,940 yuan/ton, increased by 30 yuan/ton; the purchasing price of Shagang heavy scrap steel is 2,970 yuan/ton; the purchasing price of Xingcheng Special Steel heavy scrap steel is 3,030 yuan/ton, increased by 30 yuan/ton; Ma The purchase price of heavy-duty steel scrap is 2,720 yuan/ton; the purchase price of Tongling Fuxin heavy-duty scrap is 3,030 yuan/ton; the bidding price of Shandong Laigang steel bar briquettes is 3,100 yuan/ton, increased by 50 yuan/ton; Ningbo Iron and Steel’s heavy-duty scrap in December The base purchase price of scrap steel is 2,520 yuan/ton.
The scrap steel market in central China is operating strongly, and steel companies have begun winter storage. After the scrap price rises, the arrival situation is better, and there is not much pressure on winter storage. The purchase price of heavy scrap steel at Angang is 2,940 yuan/ton; the purchase price for heavy scrap steel at Wugang is 3,180 yuan/ton, increased by 50 yuan/ton; the purchase price for heavy scrap steel at Hunan Iron and Steel Henggang is 2,640 yuan/ton; the purchase price for low-sulfur briquette scrap at Wuhan Iron and Steel Co., Ltd. The purchase price is 3,070 yuan/ton, which is increased by 140 yuan/ton.
The price of scrap steel in South China is stable and rising, the market supply is relatively sufficient, the overall arrival situation of steel companies is good, and the consumption remains at a high level. The purchase price of Sansteel Minguang heavy-duty scrap is 2,920 yuan/ton; the ex-factory price of Shaogang’s heavy-duty second-class scrap is 2,740 yuan/ton excluding tax, an increase of 10 yuan/ton; the purchase price of Angang Lianzhong’s first-grade carbon steel scrap is 3,050 yuan/ton. tons, increased by 80 yuan/ton.
Scrap steel prices in southwest China are generally stable. Scrap steel is more cost-effective than hot metal. Steel companies actively use scrap steel to support scrap steel prices. The heavy-duty scrap price of Chongqing Iron & Steel Co., Ltd. excluding tax is 2,700 yuan/ton, an increase of 20 yuan/ton; the purchase price of Kunming Iron and Steel’s briquette scrap steel is 2,760 yuan/ton.
The scrap steel market in the northwest region is operating smoothly. Scrap steel production has declined, circulation resources have decreased, merchants have a strong wait-and-see attitude, and there is not much scrap steel on site. The purchasing price of Xining Special Steel’s heavy-duty scrap is 2,807 yuan/ton; the purchasing price of Jiugang’s medium-sized scrap is 2,550 yuan/ton.
The scrap steel market in Northeast China is operating strongly, steel companies are actively purchasing, and base inventories are low. The purchase price of heavy scrap steel at Linggang is 2,900 yuan/ton; the purchase price of heavy scrap steel at Jianlong Xigang (Yichun area) is 2,870 yuan/ton, increased by 130 yuan/ton; the purchase price of heavy scrap steel at Anshan Iron and Steel Co., Ltd. is 3,051 yuan/ton; Fushun Special The purchase price of heavy-duty steel scrap is 3,080 yuan/ton, which is increased by 30 yuan/ton.
The price of scrap steel in North China is stable and rising. Affected by heavy snow weather, transportation is severely hampered. Steel companies have poor arrival of scrap steel and mainly consume inventory. The purchasing price of Tianjin Steel Pipe’s heavy-duty second-class scrap is 3,020 yuan/ton; the purchasing price of Shougang Qiangang’s heavy-duty scrap is 3,080 yuan/ton; the purchasing price of Baotou Steel’s medium-sized scrap is 3,080 yuan/ton; the purchasing price of HBIS Shigang’s heavy-duty scrap excluding tax is 2,701 yuan/ton, increased by 36 yuan/ton.