Devaluation of US dollar supports high price of 40Cr structural steel

In 2020, the US dollar depreciated to a certain extent, which is one of the important factors for production and logistics costs of steel materials such as 40Cr structural steel to rise in China. Based on a comprehensive analysis of various situations, it is expected that the US dollar will continue to depreciate in 2021, which has become the consensus of the market. The only difference is the depreciation rate of the US dollar.

As long as the US dollar depreciates, it will stimulate the prices of iron ore, scrap steel, coking coal, oil and gas and other 40Cr structural steel smelting raw materials and energy in the international market to rise correspondingly, stimulate the corresponding rise of their shipping prices, stimulate the corresponding increase of domestic logistics costs, and ultimately increase the production and logistics costs of China's steel and finished products, which will become an important support for the high price operation of China's 40Cr steel market in the new year. It has become an important supporting force for 40Cr structural steel market to continue to heat up.