First, the price of raw materials has risen?
China's iron ore is mainly imported. Australia and Brazil are two major iron ore importers in China. Among them, China imports the highest proportion of iron ore from Australia every year, accounting for 67%. Therefore, the fluctuation of Australian iron ore price has the greatest impact on China steel market.
2021February 22nd news, Australian iron ore price has soared to 170.95 USD/ton, catching up with the all-time high of 176.20 USD/ton created in February last year. ?
Rising iron ore prices will inevitably lead to rising costs in iron and steel smelting, and steel enterprises will inevitably pass on the rising smelting costs to steel processing enterprises, and steel processing enterprises will inevitably pass on the rising procurement costs to the steel sales market. ?
Second, the steel market demand is strong?
Since 202 1, the demand for steel products in the real estate industry has been relatively stable. Generally speaking, as long as the demand for steel in the real estate industry is relatively stable, the market price of steel will be relatively stable.
In the case of relatively stable steel market price, the manufacturing boom index is relatively high this year, which leads to an increase in steel demand. In the case of rising demand for steel, the steel market has become a seller's market, and the sales price of steel is completely determined by steel enterprises.
According to the data monitored by the Iron and Steel Association, as of April 8, the inventory of the five major steel products in China is only18.84 million tons, which has been declining for five consecutive weeks. It can be seen that although the price of steel is rising, the market demand for steel is also rising.
Extended data
Steel prices soared:
According to the data recently released by the National Bureau of Statistics, in the first ten days of April, 20021,the prices of 27 products in the national circulation field increased significantly compared with the end of March, among which the increase of steel products was the most conspicuous.
A person in charge of a metal material processing enterprise in Chongqing said: Before the Spring Festival, the price of hot coil was around 3,500 yuan/ton, but now, the price of hot coil suddenly rose to 5,300 yuan/ton, an increase of about 70%.