SHANGHAI Aug 16 (Reuters) - More of China's leading steel mills have decided to raise prices of their main products for September bookings, aiming to catch up with a pick-up in spot market prices and in anticipation of stronger demand next month.
    Two leading mills, Wuhan Iron & Steel Co Ltd and Beijing Shougang Co Ltd will raise September prices for their main flat steel products in the wake of a similar move by Baoshan Iron & Steel Co Ltd (Baosteel) last Friday to take advantage of growing demand.
    "Price rises by steel mills reflect climbing prices in the spot market since the end of July as steel mills received strong bookings in August. Steel prices are expected to increase next month as traders and end users need to build up stocks as demand improves," said Bill Chen, a senior trader with Hong Kong-based Smart Timing Steel Ltd.
    Baosteel, the country's biggest listed steelmaker, said last Friday that it would raise prices for hot-rolled coil by 60 yuan ($9) per tonne and cold-rolled coil prices by 120 yuan per tonne for September, in line with market expectations.
    Baosteel usually sets the tone in pricing direction for the domestic steel market, followed by domestic rivals.
    Wuhan Steel, the country's third-largest producer, plans to raise hot-rolled coil prices by 100 yuan per tonne and cold-rolled coil prices by 120 yuan per tonne, respectively, in line with Baosteel's increases.
    Shougang will lift cold-rolled coil prices by 50 yuan per tonne, but has yet to make a decision on hot-rolled coil.
    Another major mill, Angang Steel Co Ltd is expected to announce new prices later this week. ($1 = 6.390 yuan) (Reporting by Ruby Lian and Jacqueline Wong; Editing by Chris Lewis)  

 
 

Source:chinamining