Indian HRC Export Offers to Vietnam Drop Further

Indian HRC export offers to Vietnam move down further by around USD 5-10/MT against beginning of this week. Competitive offers from Russia along with dull buying interest in domestic market pushed Indian steel mills to cut down offers in the global market.

Currently imported HRC offers from India for positioned cargoes stand at USD 430/MT CFR Vietnam as against USD 435-440/MT CFR basis at the beginning of the week. However no major deals have been reported yet.

Vietnamese importers continue to bid on lower side- Vietnam based importers continue to remain cautious amid competitive offers from major exporting nations. Meanwhile, they keep bidding on the lower side in expectation of further fall in offers from China after resumption of trade activities post the Golden Week holidays.

Current imported HRC offer to Vietnam
1. HRC (SAE 1006) 2-3mm/ China- offers from Rizhao Steel stood at USD 445/MT CFR Vietnam as against USD 450/MT CFR basis in beginning of week.

2. HRC (SAE 1006) 2-3mm/ South Korean- Hyundai steel offering at USD 450/MT CFR Vietnam as against USD 455/MT CFR basis at the beginning of this week.

3.HRC (SAE 1006) 2mm/ Russian offer- MMK Steel is offering small coils at USD 425 /MT CFR Vietnam and big coils around USD 430-435/MT CFR basis.

CIS- origin HRC export offers continue to slip- CIS origin HRC export offers witnessed further decline this week amid bearish domestic market sentiment.Also buyers adopted wait and watch approach amid continuous decline in prices.This has resulted to further slump in imported HRC offers to Turkey and Vietnam market.

Hence, this week CIS nation’s HRC export offers witnessed further fall by USD 5/MT and hovering at USD 400-410/MT FoB basis against USD 405-415/MT FoB basis heard last week.

Chinese HRC export offers remain steady post holidays – Chinese mills continued to keep their offers stable amid limited trades post National Day holidays

Thus, currently, the nation’s HRC export price assessment is hovering around USD 450-455/MT FoB basis.

However Vietnamese buyers are prefering Russian and Indian origin HRC over China amid competitive offers

Global HRC & CRC Market Overview- Week 41, 2019

Source- SteelMint Research