According to the SMM survey, the large-caliber inventory of SMM Ningbo HRC this week was 345,200 mt (as of August 20), with a WoW increase of 45,700 mt.This week, HRC prices fluctuated downward, with weekly spot price declines of 30-80 yuan/mt. The market trading atmosphere was poor during the week, with downstream end-users mainly adopting a wait-and-see approach. As of the afternoon close on August 22, the most-traded HRC 2510 futures contract closed at 3,361 yuan/mt.

Today, the most-traded iron ore futures contract I2601 was in the doldrums, closing at 770, down 0.71% from yesterday. Traders' quotation enthusiasm was moderate; steel mills were cautious and observing, with purchase willingness being average as the weekend approached.

[SS Futures Fall to 12,700 Yuan/mt, Spot Market Sluggish with Prices Pulling Back] SMM reported on August 22 that the SS futures continued to show a pullback. The decline in futures had not yet stopped, and prices fluctuated downward during the day, hitting a low of 12,700 yuan/mt. In the spot market, influenced by the continuous decline in futures, downstream end-users maintained a wait-and-see sentiment and mostly made just-in-time procurement. Under pressure to sell, traders further lowered their spot quotations. This week, social inventory decreased further, down 0.02% WoW to 933,400 mt. In futures, the most-traded contract 2510 moved lower. At 10:30 am, SS2510 was quoted at 12,745 yuan/mt, down 45 yuan/mt from the previous trading day. In Wuxi, 304/2B spot premiums and discounts were in the range of 325-525 yuan/mt. In the spot market, Wuxi cold-rolled 201/2B coils were quoted at 8,000 yuan/mt; cold-rolled 304/2B coils, with an average price of 13,000 yuan/mt in Wuxi and 13,000 yuan/mt in Foshan; cold-rolled 316L/2B coils, 25,475 yuan/mt in both Wuxi and Foshan; hot-rolled 316L/NO.1 coils, 24,900 yuan/mt in both regions; and cold-rolled 430/2B coils, 7,350 yuan/mt in both Wuxi and Foshan. Recently, SS futures have continued to fall, completely erasing the gains made within the month, and have largely pulled back to the level at the end of July, with the low point reaching the key level of 12,700 yuan/mt.

- China's cumulative imports of sheets & plates from January-July decreased by 17%, with a significant drop in coated sheets (strips) According to data from the General Administration of Customs, China's cumulative imports of sheets & plates from January to July were 2.8537 million mt, down 17% YoY. By product type, cumulative imports of coated sheets (strips) fell by 40% YoY, galvanized sheets (strips) by 23% YoY, HRC by 22% YoY, and medium-thickness plates by 16% YoY; in addition, cumulative imports of strip steel, cold-rolled, and electrical steel sheets (strips) all showed declines of varying degrees YoY.

[Domestic Iron Ore Brief: Iron Ore Concentrates Prices in West Liaoning May Have Some Upside Potential] The market in west Liaoning remains relatively calm, with 66 grade iron ore concentrates wet basis ex-factory prices at 720-730 yuan/mt; currently, most mines and beneficiation plants are operating normally, but overall resources remain tight. The mine and beneficiation plant sector reported that the supply of explosives may be restricted next week, affecting the production of some beneficiation plants due to a shortage of ROM supply.

Based on data compiled by SMM from the General Administration of Customs, in terms of export destinations, Indonesia ranked first in the cumulative total steel billet export volume from January to July 2025, with a total of 1.154 million mt, accounting for 15% of the total steel billet export volume. The Philippines followed with an export volume of 988,600 mt, accounting for 13% of the total. Turkey ranked third with 646,400 mt, accounting for 9% of the total.

According to the SMM survey, on August 20, the operating rate of blast furnaces at 242 steel mills was 86.27%, down 0.22% WoW.