Weekly Summary: 2023 China Bearing Steel Market Trend in Fourth Week of November Rises Steadily

Weekly Summary: 2023 China Bearing Steel Market Trend in Fourth Week of November Rises Steadily

1. Review of this week

【Price】

This week, the mainstream market price of bearing steel across the country has increased steadily. The current average price of GCr15Φ30 round steel in the five major markets across the country is 5,130 yuan/ton.

【Main market overview】

The price of bearing steel in Liaocheng market has increased, and market confidence has improved. In the Liaocheng market, Juneng and Jiyuan steel plants have relatively abundant supply, and the inventories of many traders remain at around 1,000 tons. At present, the market trading atmosphere is average, merchants are under great price competition pressure, and many downstream inquiries are comparing prices. However, with the price of raw materials at a high level, the support for bearing steel prices is relatively strong, and prices have increased. It is expected that the Liaocheng market bearings will rise in the short term. Steel prices may remain stable and strengthen. Currently, Jiyuan Steel GCr15Φ16-29.5 is quoted at 4,680 yuan/ton, and Juneng Special Steel GCr15Φ16-90 is quoted at 4,530 yuan/ton.

Bearing steel prices in the Hangzhou market have risen steadily, and market sentiment has recovered. The spot inventory in the Hangzhou market is dominated by resources from Zhongtian Steel, Nanjing Steel, and Daye Special Steel, and most traders maintain inventories of around 1,000 tons. As raw material prices continue to run at high levels, market quotations have increased. However, terminals and traders continue to make urgent purchases, and downstream and terminals have slightly replenished their inventories and are short of resources. In terms of sentiment, the rise in raw material prices has led to stable and positive market sentiment, and business sentiment has improved. Taken together, it is expected that the price of bearing steel in the Hangzhou market may stabilize and strengthen in the short term. As of press time, Zhongtian Steel GCr15Φ40-140 was quoted at 4,650 yuan/ton, and Daye Special Steel GCr15Φ20-40 was quoted at 5,050 yuan/ton.

The price of bearing steel in Wuxi market has been partially increased, and the demand performance is average. 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, with raw material prices continuing to be high, spot prices have increased, but the transaction performance is relatively average. The downstream is more cautious in purchasing goods compared with inquiries, and procurement is still based on rigid demand. Taken together, it is expected that the price of bearing steel in the Wuxi market may fluctuate and strengthen in the short term. As of press time, Zhongtian Steel GCr15Φ40-140 was quoted at 4,650 yuan/ton, and Xingcheng Special Steel GCr15Φ31-90 was quoted at 5,820 yuan/ton.

The price of bearing steel in Luoyang market rose slightly, and the transaction performance was average. The Luoyang market has limited arrival resources this week. The market is mainly supplied by Jiyuan, Daye Special Steel and Hegang Stone Steel, and some traders have inventories of around 1,000 tons. Downstream terminals continue to have rigid demand, the market atmosphere is deserted, and merchants have a strong wait-and-see attitude. Due to the increase in raw material costs, Jiyuan Iron and Steel increased the price of bearing steel products by 100 yuan/ton this week. Overall, it is expected that the price of bearing steel in Luoyang may fluctuate and strengthen in the short term. As of press time, Jiyuan Steel GCr15Φ6.5-23 was quoted at 4,850 yuan/ton, Daye Special Steel GCr15Φ20-40 was quoted at 5,150 yuan/ton, and Hegang Shigang GCr15Φ131-180 was quoted at 4,700 yuan/ton.

The price of bearing steel in Dalian market is stable and strong, and merchants are in a wait-and-see mood. 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. Downstream terminals are cautious in purchasing, and market demand is lower than the same period in previous years. Most merchants adopt a cautious and wait-and-see attitude. In view of the slowdown in market shipments, merchants are less willing to replenish their inventories, and most choose to consume early inventory. The price of raw materials is at a high level. This week, the ex-factory price of bearing steel from Northeast Special Steel increased by 100 yuan/ton. Overall, it is expected that Dalian bearing steel prices may fluctuate upward 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 November 17th to November 25th is as follows: A total of 2 steel mills released price adjustment information in this period, with a total of 2 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

As raw material prices continue to run at high levels, and some steel mills have raised ex-factory prices for bearing steel, spot market quotations have followed suit, and market sentiment has picked up. In terms of inventory, although social stocks have declined this week, which shows that demand is slightly released at the end of the month, the overall market sentiment is average and traders are weak in replenishing stocks. Taken together, it is expected that the bearing steel market price may be stable to strong next week.