This week global billet market witnessed limited trades. Billet export offers from all the major markets witness a rise amid increase in Turkey’s imported scrap prices.
According to SteelMint analysis, increasing Turkey’s imported scrap prices are intensifying the global billet market sentiments. The Turkish market has been very active for scrap bookings since the last week even amid continuously rising offers from global suppliers over tight supply during winters. Also, ongoing production cuts in China are driving the billet trades across the globe.
This week global billet market was reported with more intensified trade and eventful against last week. All major markets were reported trade active. The prime reason for increased trade events in the global billet market is the ongoing production cut sanctions in China which is driving the billet imports in the country.
Another reason for boosted trade sentiments is Turkish imported scrap prices which have again moved up this week. This was the second consecutive week in which Turkey’s imported scrap prices have increased and has resulted in improving global billet sentiments.
Billet export offers from CIS rise sharply – This week billet export offers from CIS nations stands at USD 360-370/MT, FoB Black Sea, up USD 10-15/MT against last week. This week, the billet producers from the region increased offers twice, amid supply tightness, SteelMint learnt from market sources. Market sentiments are reported strong in the region.
Iranian mills raise billet export offers- Iranian mills have raised billet export offers for Dec shipments and are heard offering USD 355/MT, FoB Iran against last offers of USD 345-350/MT, FoB. Earlier this week, a deal of 40,000 MT was reported to conclude to SE Asia from the country. The deal value was reported to be USD 347/MT, FoB and the shipment is schedule for Mid December. However, billet export offers from the country are standing at USD 345-350/MT, FoB Iran, identical as last week.
SE Asia – This week, SE Asia billet market was reported with positive trade sentiments and boosted import offers. Billet import offers in the region have also moved up marginally and are assessed at USD 400-405/MT, CFR Thailand up USD 5-10/MT, against last week.
Vietnam – The country is upturning its interest towards exports. Country’s offers are itself the acquaintances. Billet export offers from the country are assessed at USD 400/MT, CFR China. Production cuts in China are driving the billet imports.
China- Chinese domestic billet market was settled at RMB 3,360/MT, up RMB 10 against last week. The market sentiments in the country are reported marginally strong in the country.
As per SteelMint’s methodology, assessment of US-origin HMS 1&2 (80:20) scrap has now escalated to USD 253/MT, CFR Turkey, increasing by USD 8-9/MT against last week. The assessment of European origin HMS 1&2 (80:20) now stands at around USD 248/MT, CFR Turkey.
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