It’s reported that the market prices for Korean Hot rolled coils (HRC) may have reached the bottom level as the market is observing that it might hard for the Chinese mills to decrease their prices further for Korean market.
Meanwhile, the Korean mills may soon resist further price reduction.
It is said that electricity shortage in July and August may also contributed to the prices due to the production cut as the Korean steel mills plan to cut 15% of production each month.
In Korea, the current HRC prices of Chinese products are said to be US$520/ton CFR.
It is analyzed that in light of Korean prices being on bottom level, Chinese HRC prices may also be expected to reach the limit.
Source:
http://www.yieh.com/2.2.01.01stainlesssteelnews.aspx?no=65060&division=A2
