23 March 2022 – According to media reports, the Chinese steel region Tangshan is once again in lockdown. With 130 million tonnes of crude steel production per year, the region is one of the most important steel producers in the world. SHFE nickel prices close up to 3% higher. LME nickel starts trading up more than 3.4%. Aluminium prices remain firm and stable above $3,500 per tonne.
China: Tangshan steel region, Hebei back in lockdown
The Tangshan steel region in China’s Hebei province has been put into lockdown again, according to press reports.
Tangshan produces more than 130 million tonnes of crude steel a year, which is almost 13% of China’s total production. This is likely to put further pressure on current availability.
LME nickel +3.41% at the start of trading
Nickel on the LME showed a more realistic price movement for the first time today. After being artificially revised downwards for the last few days, it started trading today with a gain of more than 3.4%, trading at around $29,120 per tonne.
SHFE nickel closes up to 3%+
Nickel contracts on the SHFE had already closed today (Wednesday) with a gain of more than 3% in some cases. Chinese spot nickel prices also rose by up to 1.2% today.
Aluminium prices firm and stable
Aluminium prices on the LME and SHFE have been holding above $3,000 per tonne since the beginning of February and have averaged more than $3,500 since the beginning of March. Also today, aluminium prices in China have increased by up to 0.5% on average. On the LME, they started the trading day with a plus of almost one percent.
Due to the global political situation, scarce availability and high energy costs, a downward trend in aluminium prices is not expected for the time being. In addition, the US is currently threatening new sanctions against Russia, which could lead to a further price increase.
- LME can’t get a grip on its own chaos
- Nickel prices continue to adjust, LME sees banks to blame
- Nickel manipulation and rising stainless steel prices
We at the Gerber Group have been trading in stainless steel worldwide for over 20 years. We are your experts when it comes to purchasing, import, logistics and services. Information is a vital part of this. Because only then can you and we make the right decisions. Do you have any questions? Contact us now.
Disclaimer: Many things here represent our opinion. Others are information from the Internet. We can therefore never claim to be correct or complete. And never base a business decision solely on the news you receive from us.