Steel prices today fell to 5,375 yuan / ton on the Shanghai Exchange. China’s plan to limit flat steel output this year seems feasible, as it has been accelerated by power shortages.
Steel prices today fell deeply
Steel price today delivered in January 2022 on the Shanghai Exchange fell 313 yuan to 5,375 yuan / ton at the time of the survey at 10:15 am (Vietnam time).
| Type name | Period | October 13 | Difference from yesterday |
| Copper price | Delivered in November 2021 | 69.630 | -680 |
| Zinc price | Delivered in November 2021 | 23.660 | +15 |
| Giá niken | Delivered in November 2021 | 143.940 | -1.310 |
| Silver price | Delivery in December 2021 | 4.811 | -19 |
| Steel price | Delivered in January 2022 | 5.375 | -313 |
On Tuesday (October 12), iron ore futures fell with the benchmark on the Singapore Exchange (SGX) dropping more than 7% after a four-day rally, Reuters reported. some metals on the Shanghai Floor (Unit: yuan/ton).
Iron ore chart at Shanghai exchange (Source: Shfe)
At the same time, contracts on the Dalian Exchange (DCE) also erased initial gains, as investor focus shifted to control of steel production in China.
Specifically, the SZZFX1 iron ore contract for November delivery, the most actively traded on the SGX, fell 7.4% to $125.40/ton.
On the DCE, the DCIOcv1 iron ore contract for January delivery ended day trading 0.2 percent lower at 769.50 yuan per tonne ($119.26 per tonne).
“China’s plan to limit flat steel output this year seems feasible, as it has been accelerated by recent power shortages,” said ANZ senior commodity strategist Daniel Hynes.
Mr. Hynes also said that China – the world’s largest producer and building materials producer, will have to reduce its annual steel output by 10% between September and December, to match the demand. decarbonization target.
Photo: ASF Steel Company
China’s crude steel output in January-August rose 5.3% from a year earlier, despite the tightening of production controls in early July.
China is likely to limit steel production more tightly in early 2022, especially to ensure air quality for the Winter Olympics in February next year, analysts said.
But while iron ore prices have fallen sharply from their record highs in May, the rise in the cost of two other steelmaking raw materials, coking coal and coking coal, continues.
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