Global HRC Offers Move Up- Week 7,2019

Global HRC export offers reported significant surge after Lunar New year holidays in China amid improved buying from overseas buyers.

Chinese HRC export offers surge post lunar new year holidays- Chinese HRC export offers moved up by USD 10-20/MT post Lunar New year holidays.Meanwhile Chinese mills are increasing HRC prices both in domestic and export market amid hike in iron ore prices due to accident in one of Vale’s iron ore mines in Brazil.

Currently nation’s HRC export offers are assessed at around USD 510-520/MT FoB basis. Before the holidays the offers was in range of USD 495-497/MT FoB basis.

Domestic prices in eastern China (Shanghai) is hovering at RMB 3,840-3,850/MT and are heard at RMB 3,780-3,800/MT Northern China (Tangshan). Prices mentioned are Ex-factory including 17% taxes.

Imported HRC offers to Vietnam moved up from China-This week imported HRC offers to Vietnam moved up from China post Lunar new Year and Tet holidays.

Currently imported offers of HRC to Vietnam from China is around USD 525-530/MT CFR basis.However buyers are still waiting for clear outlook on Chinese steel prices.

Last offers for imported HRC to Vietnam from Chinese mills was in the range of USD 495-515/MT CFR basis.

Meanwhile offers from India based private steelmaker is around USD 525-530/MT CFR basis to Vietnam.However no major booking has been confirmed yet.

Trade sources also shared that domestic producer Formosa Ha Tinh will also revise its steel prices next week following surge in imported HRC offer from China.

CIS-origin HRC export offers spike over low availability- CIS origin HRC export offers reported surge by USD 30-40/MT this week amid limited supply and increased inquiries of buyers in CIS market.

Currently offers are in the range USD 500-510/MT FoB Black Sea.Last week CIS nations HRC export offers are hovering around USD 460-480/MT FoB basis.

Meanwhile buyers are restocking the material in anticipation that prices are likely to increase further in market.

Japanese steel mills also raised HRC offers for India- Japanese based major steelmakers is offering HRC export offers to India at around USD 540-550/MT CFR India.

However last offers was in range of USD 525-530/MT CFR basis for Indian mills.

Global HRC Market Overview – Week 7,2019

Source- SteelMint Research