China: Billet prices edge up on firm sentiment, improving demand

• Stable iron ore costs support overall prices
  
  
• Billet export prices remain firm at $465/t FOB
  
  

Chinese billet prices rose by RMB 10/t ($1/t) to RMB 2,990/t ($437/t) on 17 April, while SHFE rebar futures rose by RMB 8/t ($1/t) to RMB 3,103/t ($455/t). The uptick was supported by firm market sentiment and a gradual recovery in demand, with improved rebar consumption backed by strong March-April sales.

Export strength also underpinned prices, as mills continued to raise base offers and limit negotiation flexibility. On the cost side, stable iron ore prices and expectations of a second round of coke price hikes provided additional support. Meanwhile, improving overseas demand-particularly from Southeast Asia-and stronger semi-finished exports sustained the upward trend, although elevated port inventories capped further gains. Current billet export prices from China were heard stable d-o-d at around $465/t FOB.