China’s shipbuilding boom boosts demand for South Korean plate

An increase in shipbuilding orders has led China to import plate from South Korea amid high Chinese prices for the flat steel product.

Several sources told Fastmarkets that traders and shipmakers had been importing plate from South Korea since June, since Korean products were cheaper than products offered by domestic suppliers in China.
A Jiangsu-based trader said he booked 3,000-4,000 tonnes of shipbuilding plate from South Korea and that these cargoes had arrived in eastern China in the past two weeks.
He said the average transaction price for these was $475 per tonne cfr China, which is equivalent to a domestic price of around 3,870 yuan ($555) per tonne once a 2% import tax and a 13% value-added tax are factored in.

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Published

Miranda Song

August 05, 2020

04:55 GMT

Shanghai