Imported HRC offers to Vietnam from China slide down further by USD 5/MT against the beginning of this week. Market sentiments remained dull so far, and Vietnamese buyers are anticipating a further decrease in offers. Buyers seem cautious before making bookings.
As per the China Iron and Steel Association (CISA), the Chinese steel companies are facing more hurdles like weak demand, restricted transportation owing to avoid infections, and delay in the complete resumption of market operations until 9 Feb’20. These reasons can be attributed to the current downfall in the HRC export offers from China.
Few of the importers based in Vietnam shared that Imported HRC (SAE 1006) offers to Vietnam is around USD 485/MT CFR basis for position cargoes. However, Chinese major mills are offering around USD 490-500/MT CFR Vietnam.
Further, other major exporting nations have kept their offers on sidelines, and closely watching the direction of export offers from the Chinese steel mills.
Current imported HRC offers to Vietnam-
1. HRC (SAE 1006) 2mm, China- Benxi is offering at USD 500/MT CFR basis in contrast with USD 505/MT CFR basis at the beginning of the week.
2. HRC (SAE 1006) 2mm, China- Maanshan Steel’s offer is at USD 490/MT CFR basis. The previous offer was at USD 495/MT CFR basis.
3. HR Strip, China- Anfeng steel is offering at USD 455/MT CFR basis.
4. HRC (SS400) 2mm, China- Anfeng steel’s offer stands at USD 463-465/MT CFR basis.
5. Vietnam based market participants shared few offers of Indian HRC around USD 520/MT CFR basis but, it could not be confirmed from Indian mills till the time of publishing this report.
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