Global Flat Steel Market Overview – Week 34, 2018

Chinese HRC export offers move up over higher domestic prices- Chinese HRC export offers moved up by USD 5-10/MT amid increased prices in domestic market.

Recent announcement on production cuts by Chinese mills may lead to reduction in supply and in turn will lead to higher prices in domestic market.

Currently Chinese HRC export offers heard around USD 580-585/MT, FoB China.Payment are made on letter of credit basis for 1,000-10,000 MT. Last week nation’s HRC export offers was hovering in range of USD 570-575/MT FoB basis.

Domestic prices move up by RMB 10-30/mt on D-o-D basis.Prices of HRC in the domestic market are gauged at RMB 4,410-4,430/MT (ex-works) in Eastern China and 4,350-4,3650 /MT (Northern China).

CIS origin HRC export offers inch down- CIS origin HRC export offers move down marginally by USD 5-10/MT as the buyers postpone their bookings amid Eid al Adha religious holidays.Meanwhile increases of 50% of tariff on steel products from Turkey results to decline in HRC prices in Turkey.Also devaluation of currency is putting pressure on imported flat steel prices in the country.

Currently HRC (2.5 mm S235 JR) export offers are heard around USD 560-570/MT FoB Black Sea.However last week the prices stood in the range of USD 565-575/MT FoB Black Sea.
However major mills are quoting HRC export offers on higher side which is around USD 575-580/MT FoB basis.

Turkish mills offer HRC to Vietnam-Imported offers of HRC to Vietnam from Turkey continued to remain on lower side. Currently imported offers of HRC ( SAE 1006) to Vietnam are around USD 590/MT CFR basis. However buyers are cautious before booking material over quality and delivery time concerns.

Meanwhile imported offers of HRC from China moved up this week and are heard around USD 600-615/MT, CFR.

On the other hand Vietnam’s domestic steel producer Formosa Ha Tinh Corporation is offering HRC (skin pass) on lower side which is around USD 602/MT CFR basis for Sep shipments.Previously the offers was at USD 610/MT CIF basis.

Imported HRC offers to Bangladesh remain firm amid festive holidays-This week imported HRC offers to Bangladesh remain firm owing to EID Al Adha holidays which is starting from today till week end.

Thus imported HRC offers (1.8-2) mm are hovering in range of USD 630-640/MT CFR basis Chittagong.

Global Flat Steel Export Offers – Week 34,2018

Source-SteelMint Research