[SMM Hot-Rolled Arrivals] Arrivals in Major Northern and Southern Cities Reversed This Week

SMM Steel November 25: According to SMM statistics, the estimated total resource shipments in mainstream markets this week were 194,800 mt, down 3.47% WoW. By market:

Table 1: Mainstream market arrivals comparison

Source: SMM Steel

Shanghai market: Shipments in the Shanghai market edged down WoW. Specifically, the decrease mainly came from mainstream steel mills in south and north China, while shipments from mills in northeast and east China remained stable. Looking ahead, recent hot-rolled coil prices fluctuated rangebound, transactions saw periodic increases, and some merchants improved ordering enthusiasm. It is expected that hot-rolled coil shipments in the Shanghai market still have room for increase in the next 1–2 weeks.

Chart 1: Shanghai market arrivals

Source: SMM Steel

Lecong market: Shipments to Lecong increased WoW. Specifically, the main increase this period came from local mainstream resources; the completion of variety steel production mid-month prompted some mills to increase market supply. Meanwhile, the price spread between south and east China narrowed earlier, leading some mills to adjust shipments. Going forward, as the price spread between south and east China recently narrowed, some mills may further increase shipments. However, considering export orders remain, a more noticeable increase may occur next month. Arrivals are expected to rebound from low levels next week.

Chart 2: Lecong market arrivals

Source: SMM Steel

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