Weekly: Global Billet Market Overview

The global billet market remained active for the consecutive week on active bookings from China.  The country is continuously importing the billets largely from CIS and India. Almost all billet exporting nations are now primarily dependent on China for the trades amid subdued domestic demand.

On the contrary, the increased global billet offers, supported by COVID-19 has put the buyer of other parts of the world on wait and watch mode.

CIS- CIS billet export assessment was reported to witness a sharp rise and are at USD 350-355/MT, FoB Black Sea, up USD 5/MT against last week.

Iran- SteelMint’s assessment for Iran billet export offers is now at USD 345-350/MT, FoB Iran, up USD 10-12/MT against last week.

— South Kaveh Steel Co. popularly known as SKS has issued a tender for export of 30,000 MT billet for June shipment, SteelMint learned from its reliable sources. However, the hearsays about this tender are that the company has concluded the tender at USD 350-355/MT, on an FoB basis. Although, the deal was not been confirmed until the publishing of this report.

— Khouzestan Steel Company (KSC) – one of the leading exporters of Iran had floated an export tender for billet and slabs of quantity 30,000 MT each. According to sources report to SteelMint, the company has concluded the tender. The deal value was noted to be USD 350/MT, FoB Iran for billets, and USD 325/MT, FoB Iran for slabs. The shipment is scheduled for May’20. Cargo has been booked for China, SteelMint learned from its reliable sources.

India- An Indian mill was noted to book approximately 40,000 MT billets of sizes 150*150mm and 125*125mm at USD 355/MT, FoB, and USD 350/MT, FoB respectively.

— Also, a private mill from India was reported to book one billet lots of quantity 30,000 MT to far east nations, and the deal values were noted to be USD 375-380/MT, CFR.

— Another Indian mill was reported to conclude 30,000 MT billets (150*150 mm, 3 sp grade) at USD 350/MT, FoB India for end May shipment.

— Vizag Steel: The company has floated a spot sale tender in recent for 60,000 MT quantity, 150*150mm size, and 3SP/4SP Grade. The shipment is scheduled for 31 May’20.

SE Asia- SteelMint’s assessment for SE Asia billet import is assessed at USD 375-385/MT, up USD 5/MT against last week.

— After booking a sizeable cargo during last week, SE Asian billet import market remained less active, on a marginal increase in prices. This has put the buyers on wait and watch mode.

— The offers from Russia to Thailand have crossed the USD 380/MT, CFR mark.

— The billet export offers from Vietnam were noted at USD 385/MT, FoB levels, identical as last week.

China- The domestic billet prices in China are at RMB 3070/MT ex Tangshan (including VAT) identical as last week. Meanwhile, billet import prices in China are currently at USD 370-380/MT, CFR.

 Global billet price assessment:

Source: SteelMint Research