Billet Prices Increased And Pig Iron Prices Steady Lower

    Thebillet market in Tangshan showed a rising trend. The main reason for this roundof price rally was that the execution date of the discontinuation policy forwinter heating season in Tangshan Steel Plant was getting closer. The futuresmarket was getting stronger and stronger. The various spot products in themarket were supported and the price rose. Thelate implementation of the Tangshan Tangshan stop production policy, blastfurnace operating rate will decline, the supply level of tension, the billet pricesmore upward trend.

    Inthe week, domestic pig iron prices steadied lower. Steel-making pig irontransaction prices slightly lower than the offer, discount efforts haveincreased. In the week, steel mills also reduced their purchases ofsteel-making pig iron and the business continued to bearish on the market. Withthe discontinuation of some small ironworks, the supply of foundry pig irondecreased; while the downstream demand was tepid, making the foundry pig ironmarket a dual source of supply and demand.

    Takentogether, raw material prices continue to fall, pig iron cost support is notstrong, downstream demand has also declined, it is expected that the latterpart of the domestic pig iron market will remain weak operation.