According to the data released by MOFCOM, Chinese domestic steel price decreased by 0.4% in the week ended on May 13 from prior week. In detail, the price for welded pipe with specification of 20*1.2, high speed wire rod with diameter of 6.5 mm and medium plate with thickness of 10 mm had inched down by 0.5%, 0.4% and 0.4% respectively week over week.
During the period in question, the price for iron ore also dipped by 0.9% from previous week.
Experts said that the releasing materials from mills and low-remained procurement orders from final customers are the main reasons for the price drops in last week. As for the market prospect, we thought that the domestic steel price will continue its weak trend in the short run due to declining raw material prices and weak transaction deals in the market.