Business Society: The price of medium and thick plates is steadily rising, and the upward trend continues (4.20-4.24)

This week, the domestic price of medium and thick plates showed a trend of "unilateral upward trend within the week, stable after rising". The price increase rhythm within the week is clear, with only the first half of the week completing a rise, and the second half entering a high-level sideways phase, indicating an overall strong market sentiment. According to the Commodity Market Analysis System of Shengyi Society, Pu Zhong Ban (material: Q235B; Specification: On April 20th, the price was 3282 yuan/ton, with a daily increase of 0.31%, which is the initial price for the week; On April 21st, the price rose by 0.30% to 3292 yuan/ton, completing the main increase of the week; From April 22nd to 24th, the price remained stable at 3292 yuan/ton, with a daily increase or decrease of 0.00% and a cumulative increase of 0.30% during the week. The price center shifted from 3282 yuan/ton to 3292 yuan/ton, continuing the previous upward trend.

Cost steel billet market: The ex factory price of ordinary carbon square billets in Tangshan area continues to rise, with a cumulative increase of 20 yuan/ton within the week; The current increase in steel billet prices has compressed the profit margin of medium and thick plate steel mills. Steel mills have a weak willingness to actively reduce prices, and the cost side supports the easy rise but difficult fall of medium and thick plate prices, becoming one of the core driving forces for this price increase.

Supply and demand side

Demand situation: Downstream terminal demand continues to rebound, which drives prices continuously. Terminal operation: The operating rates of major downstream industries such as construction machinery, pressure vessels, and shipbuilding for medium and thick plates remain high, and the order volume has improved month on month. The enthusiasm for terminal procurement continues to increase; Trading by traders: The upward trend in prices has driven an increase in traders' willingness to replenish their inventory, resulting in high trading activity in the spot market. The release of traders' stocking demand has formed a positive feedback on prices, supporting the maintenance of high prices.

Inventory situation: Low inventory levels are running, providing support for prices. Steel mill inventory: The overall inventory of medium and thick plate steel mills is low, and some enterprise orders are scheduled until May. Spot resources are tight, and steel mills have less pressure to ship, resulting in a strong willingness to raise prices; Social inventory: The inventory of ports and traders remains low. As prices rise, the reluctance of traders to sell increases, and the market circulation of goods further tightens. The suppressive effect of inventory on prices disappears, and instead becomes a driving factor for price increases.