Billet prices in seaborne market remains stable this week although buying activities were thin over volatility in Chinese steel prices.
Last week, global billet prices moved up on US’s anti dumping announcement. Market factored that this move will reduce scrap supply in global market and hence prices of scrap and billet will remain tight.
Trade Update
1. Russian billet prices drop marginally by USD 5/MT. Current offers assessed at around USD 545/MT, FOB Black Sea.
2. Indian billet export tender of 125mm, 5 SP grade from East coast heard to have received highest bid at around USD 535-540/MT FOB India, tender still under negotiation.
3. Buying interest for Indian induction grade billet reported at USD 530/MT FOB, however sellers hold their offers on better domestic realizations, which is around INR 35,000/MT (USD 540) West India & INR 36,000/MT (USD 555) in South India, ex-mill.
4. Last deal from Iran was reported at USD 520/MT FOB Iran. Mills are eyeing a price level of USD 530/MT FOB Iran, no deals reported. KSC 70,000 MT billet and slab export tender is expiring today, which will set the direction.
5. Imported billet offers to Philippines reported at USD 570-575/MT CFR Manila, buyers are slightly hesitant taking position over volatility in Chinese steel prices.
6. Imported billet offers to Indonesia assessed at USD 550-555/MT CFR Indonesia. However Indonesian mills have been inactive as they prefer scrap over billet.
7. Imported offers to Egypt reported at USD 565-570/MT CFR, up by USD 5-10/MT from last week. Rising domestic re-bar prices support imported billet offers.
8. Bangladesh mill heard to have booked a parcel of 40,000 MT billet from Middle East (most probably from Qatar) few weeks back , despite a hefty import duty on billets.
Global Billet Export Prices as on 17-March 2018
| Particular/Delivery | Size, Grade | Prices | Min | Max | Change | 1W | 1M |
| FOB India | 150*150, IS 2830 | $530 | $525 | $535 | +10 | $520 | $515 |
| FOB Ukraine | 125*125, 3sp | $545 | $540 | $550 | 0 | $532.50 | $504 |
| FOB China | 150*150, Q235 | $550 | $545 | $555 | 0 | $552.50 | $540 |
| FOB India | 95*95 | $535 | $530 | $540 | 0 | $525 | $520 |
| FOB Iran | 130*130, 3 sp | $520 | $515 | $525 | 0 | $517.50 | $489 |
| CNF Turkey | 125*125, 3sp | $565 | $560 | $570 | + 17 | $544 | $509 |
| CNF Dubai | 125*125, Q235 | $548 | $545 | $550 | 0 | $544 | $513 |
| CNF Bangladesh | 150*150, Q235 | $565 | $560 | $570 | 0 | $552.50 | $522.50 |
Prices in USD/MT
Source: SteelMint Research
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