Following Baosteel's pricing action, Hebei Iron and Steel has also hiked the ex-factory prices for by hundreds of RMB.
At the same time, China’s domestic steel prices have withdrawn for the first time since the Chinese New Year holidays.
According to industrial insider, the current correction on prices has to do with the market reaction against the previous price hike.
However, as the weather has become warmer after the Spring Festival, it helps support construction industry and steel prices. It is said the price hike for steel products in the past weeks has already surpassed the production costs.
Besides, due to tight supply of raw materials such as iron ore and coking coal in the global market, it’s estimated that rising raw material costs will provide strong supports for steel products.
