Sunday, February 14, 2010

Baosteel Increases March Steel Prices

China’s Baosteel Iron and Steel Co has raised its March prices by up to 7.4 percent in th face of rising demand, increased costs and to recoup losses when it suspended price increases in February.

Hot-rolled coil for March delivery has increased by 300 yuan (US$44, 7.4 per cent) a ton, from February, while prices for cold-rolled products also rose 300 yuan, (5.4 percent).

The increases are within analyst expectations, given rising coke and spot iron ore prices.

Baosteel had kept February prices unchanged for most products amid speculation that this was in order to strengthen China’s position in the annual iron ore benchmark price negotiations. This current round of increases will enable it to catch up with other steel mills that did increase their prices.

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