Weekly Summary: 2024 China Bearing Steel Market Trend in First Week of May is temporarily Stable

Weekly Summary: 2024 China Bearing Steel Market Trend in First Week of May is temporarily Stable

1、 Review of this week

[In terms of price]

This week, the mainstream market price of bearing steel in China has remained stable, with an average price of 5067.5 yuan/ton for round steel with a diameter of GCr15 and 30 in five major markets across the country.

[Main Market Overview]

The price of bearing steel in the Liaocheng market is weak and stable, and the sentiment of merchants is cautious. This week, the new arrivals of resources have slightly slowed down. At present, the spot bearing steel in the Liaocheng market is mainly from the resources of Juneng and Jiyuan steel mills, and the inventory of multiple traders is maintained at around 1500 tons. This week, the purchasing power of the terminal was weak, with fewer bulk orders, and the enthusiasm of trading merchants to offer was average. The market was mostly cautious and cautious, and in terms of operation, merchants often chose to "exchange price for quantity" to promote sales. Overall, it is expected that the bearing steel prices in the Liaocheng market will fluctuate in the short term. Currently, Jiyuan Steel's GCr15 diameter 16-29.5 is priced at 4620 yuan/ton, while Juneng Special Steel's GCr15 diameter 16-90 is priced at 4450 yuan/ton.

The price of bearing steel in the Hangzhou market is mainly stable, with average transactions. 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. This week, there has been a slight slowdown in new arrivals of resources, with downstream restocking on demand. Merchants have been cautious in their operations, and the negotiation space for bulk order prices has slightly increased. However, market transactions have been average, and demand volume has fallen short of expectations. Overall, it is expected that the price of bearing steel in the Hangzhou market may fluctuate in the short term. As of the time of publication, Zhongtian Steel's GCr15 with a diameter of 40-140 is priced at 4620 yuan/ton, while Daye Special Steel's GCr15 with a diameter of 20-40 is priced at 4900 yuan/ton.

The price of bearing steel in the Wuxi market is temporarily stable, and there is significant sales pressure in the market. 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 1500 tons. At present, the release of market demand is not as good as in previous years, and downstream procurement performance is cautious. The black series market is operating in a volatile manner. At present, traders have chaotic quotations and obvious sales pressure. In order to promote transactions, many merchants choose to negotiate prices according to orders. Overall, it is expected that the price of bearing steel in the Wuxi market will remain stable in the short term, with a range of fluctuations. As of the time of publication, Zhongtian Steel's GCr15 with a diameter of 40-140 reported 4630 yuan/ton, while Xingcheng Special Steel's GCr15 with a diameter of 31-90 reported 5720 yuan/ton.

The price of bearing steel in the Dalian market is temporarily stable, and businesses are in a wait-and-see mood. 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 traders synchronize their essential procurement. The situation of strong market supply and weak demand is not significantly improved. In practice, businesses are increasingly selling at low prices to promote transactions. Given that the improvement in demand has not met expectations, it is expected that the price of Dalian bearing steel will remain stable next week. Currently, Benxi Steel's special steel GCr15 with a diameter of 81-130 is priced at 4700 yuan/ton, Dongte Group's GCr15 with a diameter of 86-180 is priced at 4750 yuan/ton, and Jianlong Beiman's GCr15 with a diameter of 30-75 is priced at 4700 yuan/ton.

The price of bearing steel in the Luoyang market is stable, and the trading atmosphere in the market is average. Recently, there has been a relatively abundant supply of goods for Jiyuan Steel, Daye Special Steel, and Hegang Stone Steel in the Luoyang market, with some traders holding around 1000 tons of inventory. This week's market feedback shows that downstream terminal enterprises have insufficient purchasing enthusiasm, the trading atmosphere in the spot market is relatively cold, and the speed of inventory consumption is slow. Given the current difficulty in improving market demand, it is expected that the price of bearing steel in the Luoyang market may temporarily stabilize next week. As of the time of publication, Jiyuan Steel's GCr15 with a diameter of 6.5-23 is priced at 4800 yuan/ton, Daye Special Steel's GCr15 with a diameter of 20-40 is priced at 5050 yuan/ton, and Hegang Shigang's GCr15 with a diameter of 131-180 is priced at 4550 yuan/ton.

[In terms of steel mills]

From April 26th to May 6th, no steel mills have released any price adjustment information. 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 in the market is weak and stable, and merchants are cautious in their operations. The overall inventory of this week is not significantly different from last week. Due to less than expected demand release, merchants have been cautious in their operations and have a weak willingness to replenish inventory. Downstream enterprises have slowed down their procurement pace due to insufficient self owned orders. At present, traders are quoting in a chaotic manner, and merchants are under significant sales pressure. In terms of operation, they mainly choose to "exchange price for quantity" to recover funds. Overall, it is expected that the price of bearing steel in the market will remain stable next week, with a range of fluctuations.