Already a Bloomberg.com user?
Sign in with the same account.
(Updates with comment from analyst in fourth paragraph.)
Dec. 12 (Bloomberg) -- Baoshan Iron & Steel Co., China’s biggest publicly traded steelmaker, increased cold-rolled coil prices for the first time in three months because of higher costs.
January-delivery prices of the product used in automobiles were raised by 100 yuan ($16) a metric ton, Shanghai-based Baoshan said in a statement on its trade website today, without giving details. That’s the first increase since October, according to data compiled by Bloomberg. The company kept January prices of hot-rolled coil unchanged.
Iron ore prices rebounded in November from an almost two- year low as mills replenished stockpiles. China, the world’s second-largest economy, grew at the slowest pace since 2009 in the third quarter on weaker exports and monetary tightening, cutting demand for steel used in houses, cars and machinery.
“There’re no clear signs of demand recovery from end users,” said Hu Yanping, a Beijing-based analyst with researcher Custeel.com. “Baoshan raised the prices slightly to pass on some costs as it still has some expensive stockpiles.”
Ore with 62 percent content at China’s Tianjin port closed up 0.1 percent to $139.5 a ton on Dec. 9, according to the Steel Index. Prices have climbed 19 percent from $116.9 reached Oct. 28, the lowest level this year.
Chinese prices of cold-rolled coil dropped 0.1 percent to 5,258 yuan a ton today, the lowest level since Aug. 3, 2010, according to researcher Beijing Antaike Information Development Co.
Baoshan raised cold-rolled product prices by 50 yuan a ton for October delivery, according to a statement on Sept. 13. Prices were unchanged for November and lowered by 300 yuan a ton in December.
--Helen Yuan. Editors: John Chacko, Indranil Ghosh
To contact Bloomberg News staff for this story: Helen Yuan in Shanghai at email@example.com
To contact the editor responsible for this story: Rebecca Keenan at firstname.lastname@example.org