By  Paul Ploumis 07 Jul 2015  Last updated at  03:51:54 GMT

BEIJING (Scrap Monster):  The steel mills in Eastern China region have announced further cut in scrap purchasing prices, mainly on account of retreating rebar prices. This is the first cut announced by mills in the region during this month.

 

Jiangsu Shagang Group announced a cut of Yuan 30 per mt in scrap buying prices Saturday. Post cut, the purchasing price for heavy melting scrap with thickness 6mm and above by Shagang Group will now be at Yuan 1,260 per mt, inclusive of VAT delivered to Zhangjiagang. The company has reduced scrap buying prices seven times since the month of June this year. Since then scrap buying prices have dropped by Yuan 190 per mt.

 

Yonggang Group in the same province also lowered the scrap purchasing prices by Yuan 30 per mt delivered to Zhangjiagang, Jiangsu province. After cut, the scrap buying prices of heavy melting scrap at least 8 mm thickness now stands at Yuan 1,330/mt. The company’s scrap purchasing prices have dropped by Yuan 160 per mt since June this year.

 

Dongfang Special Steel too announced cut of Yuan 30 per mt in purchasing price of heavy melting scrap of thickness 6 mm and above. Post cut, the scrap buying prices remained at Yuan 1,210 per mt, inclusive of VAT for deliveries to Changzhou.

 

Also, Maanshan Iron & Steel announced a cut of Yuan 30 per mt on scrap buying prices during the week. After the announcement of price cut, the company’s buy price for plate cut-offs with thickness 6mm and above now stands at Yuan 1,310 per mt, inclusive of VAT for deliveries to Maanshan. The company has reduced scrap buying prices by Yuan 200 per mt since June this year.