SunSirs: The Price of Mild Steel Plate Fell 2.42% in June

Looking back on June, high temperature and rainy weather increased, especially after plum blossoms entered the middle and lower reaches of the Yangtze River, heavy rainfall in the vast areas in the south, and construction was restricted during the middle and college entrance examinations, terminal demand was even more dull, but social inventory was low, most merchants had insufficient resources, the market was sluggish but not panic, and the quotations in various places were consolidated sideways at low levels.

According to SunSirs, the price of Puzhong Board (material: Q235B; specification: 20) at the beginning of the month (June 1) was 3,302 RMB/ton, and the price at the end of the month (June 29) was 3,222 RMB/ton, down 2.42% from the beginning of the month.

1. Influencing factors

1. Cost situation

As of June 27, the ex-factory price of general carbon billets in Tangshan area was 2,910 RMB/ton, up 20 RMB/ton from the end of last month, and the price of steel billets fluctuated slightly. July is about to enter, and the steel market is generally difficult to make a profit, so there is little room for continued decline. It is expected that the production cost of steel may be mainly consolidated at a low level.

2. Inventory status

As of June 26, the cumulative inventory of rebar in major sample cities across the country was 3.657 million tons, a month-on-month decrease of 311,600 tons, a month-on-month decrease of 2.1528 million tons compared with the same period last year; the cumulative inventory of wire was 532,900 tons, a month-on-month decrease of 34,100 tons, a month-on-month decrease of 323,900 tons, a month-on-month decrease of 323,900 tons; the cumulative inventory of five major steel varieties((rebar, hot-rolled plate coil, wire, cold-rolled plate coil and mild steel plate)) was 9.1432 million tons, a month-on-month decrease of 264,500 tons, a month-on-month decrease of 3.665,600 tons compared with the same period last year.

According to data from the China Iron and Steel Association, in mid-June 2025, the steel inventory of key steel enterprises was 16.21 million tons, an increase of 420,000 tons from the previous ten-month month, an increase of 2.7%; an increase of 3.84 million tons from the beginning of the year, an increase of 31.1%; a decrease of 140,000 tons from the same ten-month month, a decrease of 0.9%; a decrease of 220,000 tons from the same ten-month month, a decrease of 1.3% and a decrease of 10,000 tons from the same ten-month year, a decrease of 0.1%.

3. Import and export

Data from the General Administration of Customs shows that China exported 10.578 million tons of steel in May 2025, an increase of 116,000 tons from the previous month, an increase of 1.1% month-on-month; from January to May, a total of 48.469 million tons of steel were exported, an increase of 8.9% year-on-year. In May, China imported 481,000 tons of steel, a decrease of 41,000 tons from the previous month, a decrease of 7.9% month-on-month; from January to May, a total of 2.553 million tons of steel were imported, a decrease of 16.1% year-on-year.

2. Analysis and prediction

In mid-July, the southern region will bid farewell to plum rain one after another, with hot and high temperature weather relays, and expectations for building steel have improved slightly. In terms of supply, long-process steel companies have made good profits, the blast furnace operating rate has not changed much, and the marginal supply contraction is not obvious. As the double-coke stops falling and stabilizes in stages, production costs have support for steel prices.

It is expected that domestic medium and thick plate prices may run better in July but the upward trend is limited.

If you have any enquiries or purchasing needs, please feel free to contact SunSirs with support@sunsirs.com.