Steel Scrap Prices in China Stabilise on Feb 16

SHANGHAI, Feb 17 (SMM) - On February 16, steel scrap prices in China stopped falling and stabilised. The price hike in Hebei, Guangdong, Fujian and other regions was 20-80 yuan/mt, while in Yunnan and other places, the prices fell 10-50 yuan/mt. It is sure that the supply and demand relationship will continue to improve.

On the demand side, the steel scrap stored by steel mills before the CNY holiday was lower than in the same period in previous years, which boosted the restocking demand from steel mills post CNY. On the supply side, production of steel scrap recycling and processing enterprises has not yet fully recovered, and these companies were less willing to ship, which forced the steel mills to raise their purchase prices.