Weekly Summary: 2023 China Bearing Steel Market Trend in Fourth Week of October is Temporarily Stable

Weekly Summary: 2023 China Bearing Steel Market Trend in Fourth Week of October is Temporarily Stable

1. Review of this week

【Price】

The mainstream market price of bearing steel nationwide is temporarily stable this week. The current average price of GCr15Φ30 round steel in the five major markets across the country is 4,686 yuan/ton.

[Main market overview]

The price of bearing steel in the Liaocheng market is temporarily stable, and downstream purchases continue to be in urgent demand. In the Liaocheng market, Juneng and Jiyuan steel plants have relatively abundant supply, and the inventories of many traders remain at around 2,000 tons. At present, there is limited room for release of demand from terminal companies. Terminals continue to make urgent purchases, and the market enthusiasm is insufficient. Merchants are under great price competition pressure. High-priced transactions in the market are limited, and merchant sentiment is cautious and weak. Taken together, it is expected that the price of bearing steel in the Liaocheng market may fluctuate in the short term. Currently, Jiyuan Steel GCr15Φ16-29.5 is quoted at 4,680 yuan/ton, and Juneng Special Steel GCr15Φ16-90 is quoted at 4,400 yuan/ton.

The price of bearing steel in the Hangzhou market is running smoothly and the transactions are average. The actual arrival situation in the Hangzhou market has improved slightly recently. The spot inventory is mainly resources from Zhongtian Iron and Steel, Nanjing Iron and Steel, and Daye Special Steel. Most traders' inventory remains above 1,000 tons. At present, the current market demand performance is average, with downstream on-demand procurement being the main focus. The market supply and demand situation continues to be weak, and merchants are under increasing pressure to ship. It is slightly pessimistic, but considering the production costs, there is sufficient willingness to raise prices. Taken together, it is expected that the price of bearing steel in the Hangzhou market may fluctuate in a range in the short term. As of press time, Zhongtian Steel GCr15Φ40-140 was quoted at 4,550 yuan/ton, and Daye Special Steel GCr15Φ20-40 was quoted at 5,050 yuan/ton.

The price of bearing steel in the Wuxi market is weak and stable, and merchants are cautiously waiting. The spot stocks in the Wuxi market are mainly resources from Zhongtian Steel, Xingcheng Special Steel, and Benxi Iron and Steel, and most traders have inventories of more than 1,000,000 tons. At present, traders mainly ship goods at high prices, but downstream purchases are still based on demand. High-priced resources in the market are slowly leaving the warehouse, and merchants' willingness to stock up is limited. Taken together, it is expected that the price of bearing steel in the Wuxi market may fluctuate within a narrow range in the short term. As of press time, Zhongtian Steel GCr15Φ40-140 was quoted at 4,550 yuan/ton, and Xingcheng Special Steel GCr15Φ31-90 was quoted at 5,820 yuan/ton.

The price of bearing steel in the Luoyang market is running smoothly, and merchants are cautious. There are not many resources arriving in the Luoyang market this week. Jiyuan, Daye Special Steel and Hegang Shigang are the main sources of goods on the market. Some traders have inventories of around 1,000 tons. Downstream terminals purchase on demand, traders purchase simultaneously and cautiously, and the performance is not strong during the peak season. In view of the weak demand, merchants' wait-and-see sentiment has spread, and their willingness to restock has weakened. Overall, it is expected that the price of bearing steel in Luoyang may fluctuate slightly in the short term. As of press time, Jiyuan Steel GCr15Φ6.5-23 was quoted at 4,800 yuan/ton, Daye Special Steel GCr15Φ20-40 was quoted at 5,150 yuan/ton, and Hegang Shigang GCr15Φ131-180 was quoted at 4,650 yuan/ton.

The price of bearing steel in Dalian market remains stable, and the market demand is lower than expected. In the Dalian market, Benxi Iron and Steel Co., Ltd., Dongte Steel Co., Ltd. and Jianlong Beiman Steel Co., Ltd. have abundant supply, and many traders have stocks of 3,000-4,000 tons. Market fundamentals have not changed much this week. Downstream terminal procurement is still weak, shipments have slowed down, and sales have not reached peak season expectations. It is difficult for market demand to improve significantly, so there is a situation of strong supply and weak demand, and there is insufficient support for rising market prices. Overall, it is expected that Dalian bearing steel prices may fluctuate within a narrow range in the short term. Bengang Special Steel GCr15Φ81-130 is currently quoted at 4,650 yuan/ton, Dongte Co., Ltd. GCr15Φ86-180 is quoted at 4,800 yuan/ton, and Jianlong Beiman GCr15Φ30-75 is quoted at 4,750 yuan/ton.

【Steel factory】

The price adjustment situation of major bearing steel mills across the country from October 20 to October 27 is as follows: A total of 3 steel mills released price adjustment information in this period, with a total of 3 price adjustment information released. Next week, we should continue to pay attention to the impact of consumer demand and steel mill maintenance.

2. Outlook for next week

It is expected that the bearing steel market price will fluctuate and strengthen next week.