China Steel Daily Report: Shanghai Spot Prices Rise, Mid-Plate Leads Gains

## Today's Key Prices
Chinese steel spot prices opened higher on August 31, with medium plate leading the gains at +1.0%, followed by HRC and rebar both at +0.8%. Cold rolled coil saw a more modest increase of +0.3%.

### Price Table
| Product | Specification | Grade | CNY Price | FOB Est. (USD/t) | Change |
|---|---|---|---|---|---|
| Hot Rolled Coil | 2.75*1500*C | Q235B/SS400 | ¥3,620 | $549.31 | ▲ +30 (+0.8%) |
| Rebar | φ10 | HRB400 | ¥3,650 | $553.76 | ▲ +30 (+0.8%) |
| Cold Rolled Coil | 1.0mm*1250*2500 | ST12/DC01 | ¥3,990 | $604.24 | ▲ +10 (+0.3%) |
| Medium Plate | 8mm*2000*L | Q235B | ¥4,070 | $616.11 | ▲ +40 (+1.0%) |

*Exchange rate: 1 USD = 6.7358 CNY (DSP, 2026-08-31)*

## DSP Composite Index
The DSP Composite Index stands at 961.05 (as of 2026-08-14), up +0.22% from the prior session, reflecting a broadly constructive trend across major steel categories.

## Market Analysis
Shanghai steel spot prices advanced on August 31, with the five major products continuing their weekly gain momentum — HRC up ¥54/t, rebar up ¥67/t, and medium plate up ¥51/t for the full week (来源：Mysteel, 2026-08-30). The daily move was underpinned by rising upstream costs: iron ore spot prices in Qingdao port increased by ¥2 across major grades on August 31, with 61.6% PB fines at $900/t and 61.6% PB block at $900/t (来源：Mysteel, 2026-08-31). Tangshan billet producers also raised prices by ¥20, with Songting Steel executing at ¥3,060/t ex-works, adding cost support to downstream rolling mills (来源：Mysteel, 2026-08-31).

On the demand side, structural supports are emerging. The NDRC is accelerating the "Six Networks" and "Two Major Projects" construction initiatives, while transport fixed-asset investment reached ¥18,152 billion in January–July, providing a steady infrastructure demand floor (来源：Mysteel, 2026-08-30). Meanwhile, China's shipbuilding sector continues to dominate globally with new orders accounting for nearly 80% of the world total, offering sustained demand for medium plate and HRC in the marine segment (来源：Mysteel, 2026-08-30). However, downstream transaction volume remains moderate — post-rise buying appetite is cautious, suggesting that price momentum may face resistance without further demand catalysts.

On the supply side, three steel mills entered maintenance this week: Wukun Steel (reduced coil output by 20,000t), Quanzhou Minguang (65,000t impact from September), and Xinjiang Kunlun Steel (daily rebar output cut by 2,500t) (来源：Mysteel, 2026-08-30). These outages provide mild supply support, though not enough to materially tighten overall market conditions.

## Procurement Advice
**Immediate Purchase (急单):** For urgent orders, particularly medium plate and HRC, consider placing orders this week. The cost-supportive environment from iron ore and billet prices, combined with ongoing infrastructure spending, suggests limited downside risk. Medium plate at ¥4,070/t (FOB $616.11) remains the most dynamic product — if your project timeline is tight, secure quantities now before potential further rallies.

**Stocking (备货):** For forward procurement or inventory building, the current uptrend offers a reasonable entry window. HRC at ¥3,620/t and rebar at ¥3,650/t are trading near weekly highs but still within a constructive range. If the September maintenance season deepens supply constraints (e.g., Quanzhou Minguang's 65,000t impact), prices could firm further. Consider staggering purchases across the next 2–3 weeks to average in.

## Market News
• **Iron ore prices rose ¥2 across major grades at Qingdao Port** — Cost support for steelmakers remains intact, limiting downside room for steel prices. (来源：Mysteel, 2026-08-31)
• **Tangshan billet prices increased by ¥20 (Songting Steel at ¥3,060/t ex-works)** — Upstream cost pressure is transmitting to downstream product prices; supports continued steel price firmness. (来源：Mysteel, 2026-08-31)
• **NDRC pushing "Six Networks" and "Two Major Projects"; transport investment ¥18,152B in Jan–Jul** — Structural demand support from infrastructure spending is a positive medium-term driver for rebar and HRC. (来源：Mysteel, 2026-08-30)
• **Three steel mills entering maintenance this week (Wukun, Quanzhou Minguang, Xinjiang Kunlun)** — Mild supply-side support; Quanzhou Minguang's 65,000t impact from September could tighten regional rebar supply. (来源：Mysteel, 2026-08-30)
• **China shipbuilding new orders account for ~80% of global total** — Strong medium plate and HRC demand outlook from the marine segment; favorable for overseas buyers sourcing Chinese plate products. (来源：Mysteel, 2026-08-30)
• **Shandong Xinghan galvanized steel raised ex-works price by ¥40** — Coated steel segment also seeing cost-driven price increases; CRC and galvanized products may continue edging higher. (来源：Lange, 2026-08-31)
• **Donghai cold-rolled base material prices increased cumulatively by ¥25** — Further reinforcement of the cold-rolled price uptrend; DC01/ST12 buyers should monitor for continued moves. (来源：Lange, 2026-08-31)
• **Albemarle Chile union votes 97.49% in favor of strike (possible start Sept 2)** — While primarily a lithium supply story, broader commodity market sentiment may see indirect spillover effects on freight and input costs. (来源：Mysteel, 2026-08-31)

## Data Disclaimer
Data source: DSP database (Shanghai spot prices, DSP index, USD/CNY rate). Prices are for reference only.