Weekly Summary: 2024 China Bearing Steel Market Trend in Second Week of April is Weak and Stable

Weekly Summary: 2024 China Bearing Steel Market Trend in Second Week of April is Weak and Stable

1、 Review of this week

[In terms of price]

This week, the mainstream market price of bearing steel in China remained weak and stable. Currently, there are 5 major markets in China, GCr15 Φ The average price of 30 round steel is 5157.5 yuan/ton.

[Main Market Overview]

The price of bearing steel in the Liaocheng market is weak and stable, and downstream purchases are made on demand. Recently, the bearing steel spot in the Liaocheng market is relatively abundant in resources from Juneng, Jiyuan, and steel mills, with multiple traders maintaining a stock of around 1000 tons. This week's transactions have slightly increased compared to last week, and the sentiment of merchants has improved. However, downstream procurement is still cautious, and traders often choose to offer discounts to promote transactions. Overall, it is expected that the price of bearing steel in the Liaocheng market will remain weak and stable in the short term. Jiyuan Steel GCr15 Φ 30-75 RMB 4630/ton, Juneng Special Steel GCr15 Φ Reported at 4500 yuan/ton for 16-90.

The price of bearing steel in the Hangzhou market is temporarily stable, and the sentiment of merchants has slightly improved. The spot inventory in the Hangzhou market is mainly composed of resources from Zhongtian Steel, Nanjing Steel, and Daye Special Steel, and the inventory level remains stable. The trading atmosphere in the market this week was average. Given that demand recovery was less than expected, merchants had a low willingness to replenish inventory, and spot market prices followed suit. However, due to a slight rebound in recent trading conditions, merchant sentiment has slightly improved. Overall, it is expected that the price of bearing steel in the Hangzhou market will continue to remain stable in the short term. As of publication, Zhongtian Steel GCr15 Φ 40-140 RMB 4620/ton, Daye Special Steel GCr15 Φ 45-120 yuan/ton.

The price of bearing steel in the Wuxi market is weak and stable, with average transactions. The spot market in Wuxi is mainly composed of resources from Zhongtian Steel, Xingcheng Special Steel, and Benxi Steel, with most traders having a stock of around 1000 tons. At present, the market demand performance is average, with overall transactions mainly based on demand for individual orders, and market prices are significantly suppressed by demand. Traders are cautious in their quotations and choose to trade at a discounted price in order to ship more. Overall, considering the lower than expected demand, it is expected that the price of bearing steel in the Wuxi market will temporarily stabilize next week. As of publication deadline, Zhongtian Steel GCr15 Φ 40-140 RMB 4630/ton, Xingcheng Special Steel GCr15 Φ Reported between 31 and 90 is 5720 yuan/ton.

The price of bearing steel in the Dalian market remains stable, and merchants are cautious in their operations. In the Dalian market, Bengang, Dongte Co., Ltd., and Jianlong Beiman have abundant supply of goods, with large-scale traders holding around 3000 tons of inventory. Downstream terminal procurement is cautious, and demand has not reached the expected level, resulting in a significant situation of strong supply and weak demand in the market. In terms of price, given the slightly sluggish market transactions, businesses are having more and more bargaining space to promote transactions. Considering the recent stabilization of raw material prices, it is expected that the price of bearing steel in Dalian will operate steadily next week. Current Benxi Steel Special Steel GCr15 Φ 81-130 reported 4700 yuan/ton, GCr15 from Dongte Group Φ 86-180 yuan/ton, Jianlong Beiman GCr15 Φ 30-75 yuan/ton.

The price of bearing steel in the Luoyang market is weak and stable, with strong wait-and-see sentiment among merchants. In the recent stage, the main sources of goods in the Luoyang market are Jiyuan Steel, Daye Special Steel, and Hegang Stone Steel, with some traders storing around 1000 tons. At present, market feedback shows that downstream terminal enterprises have insufficient procurement efforts, the trading atmosphere in the spot market is weak, and the speed of inventory consumption is slowing down. Given the slight increase in raw material prices, which has a certain supportive effect on spot market prices, it is expected that the price of bearing steel in the Luoyang market may temporarily stabilize next week. As of publication deadline, Jiyuan Steel GCr15 Φ 6.5-23 quoted 4800 yuan/ton, Daye Special Steel GCr15 Φ 20-40 RMB 5050/ton, Hegang Shigang GCr15 Φ 131-180 yuan/ton.

【In terms of steel mills】

There is currently no price adjustment information released by steel mills in this issue. We should continue to monitor consumer demand and the impact of steel mill maintenance next week.

2、 Outlook for next week

This week, the price of bearing steel has remained weak and stable, with transactions not significantly different from last week. Given that market demand has not been released as expected, downstream procurement is still cautious, highlighting the pressure on merchants. In terms of pricing, the current market quotation is cautious, and merchants tend to choose fast in and out payment as the main mode of operation, resulting in a constantly expanding bargaining space. Overall, it is expected that the bearing steel market prices will temporarily stabilize next week.