China: Billet, rebar prices rise on stronger raw material costs, power concerns
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Power concerns and raw materials support billet prices
- Billet export offers edge up to $458/t FOB
Chinese billet prices increased by RMB 10/t ($1/t) d-o-d to RMB 2,970/t ($437/t) on 8 July, supported by stronger raw material prices, power-related supply concerns, and improved market sentiment. Chinese billet export offers also edged up to around $458/t FOB, reflecting firmer domestic pricing, although export buying remained limited due to seasonal demand weakness and geopolitical uncertainty.
Firmer iron ore and coke prices, coupled with short covering in steel futures and expectations of tighter supply due to power issues, further supported sentiment. Meanwhile, SHFE rebar futures rose by RMB 28/t ($4/t) to RMB 3,096/t ($455/t), tracking gains in the domestic steel market.
