"Overall economy and operation of enterprises have continued to recover, but surging international commodity prices have brought great pressure on companies' costs," official Xinhua news agency cited a symposium chaired by Li last week. (https://bit.ly/2PV89K7)
Li asked to strengthen market regulation of raw materials to ease the cost pressure of companies, according to Xinhua.
The most active steel rebar on the Shanghai Futures Exchange , for October delivery, fell as much as 2.9% to 4,937 yuan ($753.44) a tonne. The contract closed down 2.0% at 4,985 yuan.
Hot-rolled coils futures, used in cars and home appliances, dropped 2.1% to 5,265 yuan at close. It slipped 3.1% earlier during the session.
Demand for the steel products, however, remained strong at downstream users. China's Baoshan Iron & Steel had raised its hot-rolled and cold-rolled prices for May delivery by 400 yuan and 150 yuan per tonne, respectively.
Stainless steel on the Shanghai bourse plunged 3.4% to 14,060 yuan per tonne.
Prices for steelmaking ingredients on the Dalian Commodity Exchange were mixed.
Benchmark iron ore futures, for September delivery, reclaimed lost ground and rose 2.6% to 1,014 yuan at market close.
Dalian coking coal gained 1.0% to 1,599 yuan a tonne, while coke fell 1.1% to 2,387 yuan per tonne.
Spot prices of iron ore with 62% iron content for delivery to China stood at $172 a tonne on Friday, up by $1.5 from the previous session, according to SteelHome consultancy. - Reuters