Feng Hsin Steel, Taiwan’s largest rebar producer based Central Taiwan’ s Taichung city, has decided to keep both its rebar list price and its buying price for locally sourced scrap stable again for the June 1-5 week, despite scrap prices globally seeing a slight rebound over the past week, a company official confirmed on Tuesday.
For business till this Friday, Feng Hsin’s list price for 13mm dia rebar stays at TWD 14,600/MT (USD 488/MT) ex-works, and its buying price for locally-sourced HMS 1&2 80:20 scrap remains unchanged at TWD 7,000/MT, according to the official.
Although scrap prices in the global market reversed up recently after a short-lived retreat over the prior week, the mini mill in Taiwan still decided not to reflect the uptick in international prices this time, “unless the price change (in the global scrap market) is significant enough,” the official explained.
As of June 1, the price of US-sourced HMS 1&2 80:20 scrap, a key reference price for Taiwan’s scrap and rebar markets, saw a week-on-week rise of USD 5/MT to reach a near three-month high of USD 235/MT CFR Taiwan, a market source in Taiwan explained. The price for Japanese H2 scrap also reversed up by USD 2/MT on week to USD 242 CFR Taiwan after the decline of USD 3/MT over the prior week, Mysteel Global was told.
Taiwan started its annual power supply rationalization scheme among local EAF mills this week to ensure electricity supply for households, as Mysteel Global reported. Scrap consumption in Taiwan is expected to decline between now and the end of September when the scheme ends.
Feng Hsin’s rebar sales performed well last week, which improved market sentiment and gave local steel producers some confidence to consider raising their rebar sales prices if demand from users continues to be strong, Mysteel Global learned.
This article has been published under an article exchange agreement between Mysteel Global and SteelMint Research.
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