4 Jun 2010 13:56

UPDATE: Baosteel confirms July ex-works product price cut

Beijing. June 04. INTERFAX-CHINA - Baoshan Iron and Steel Co. Ltd. (Baosteel), the Shanghai Stock Exchange-listed subsidiary of China's leading steelmaker, Baosteel Group, will cut its July ex-works prices for major steel products by between RMB 200 ($29.29) and RMB 500 ($73.23) per ton, Baosteel announced on June 4.

According to the announcement, Baosteel will cut its major cold-rolled steel products and low carbon steel products by RMB 500 ($73.23), its pickled steel, hot-galvanized steel, electric-galvanized steel by RMB 300 ($43.94), and its color coated steel and medium plate by RMB 200 ($29.29).

"Weak steel product demand from downstream industries, especially auto manufacturing, are the major reasons for Baosteel cutting their July prices. Spot steel product prices on China's market also began to fall in mid April, another reason for the company to cut prices," Hu Yanping, an analyst from UC361.com, told Interfax.

Baosteel's ex-works prices for June remained unchanged from May's.