Feng Hsin Steel, Taiwan’s largest rebar producer headquartered in Taichung, Central Taiwan, has decided to raise its rebar list prices by another TWD 400/tonne ($14/t) for sales over April 6-9, a company official confirmed on Tuesday. The mini-mill’s buying prices for locally-sourced scrap have also been lifted by TWD 300/t to reflect higher scrap prices in the global market.
Mysteel Global notes that Feng Hsin postponed its weekly pricing meeting till Tuesday instead of the usual Monday, as the company was closed over April 2-5 for the Children’s Day and Tomb-Sweeping Day holiday.
With the latest adjustment, Feng Hsin’s list price of 13mm dia rebar is at TWD 19,400/t EXW for the business till this Friday, while its procurement price for locally-sourced HMS 1&2 80:20 scrap grows to TWD 10,300/t, according to the official.
The hikes in Feng Hsin’s rebar list prices and scrap buying prices were decided mainly to reflect the better performing global scrap market. As of April 6, the price of US-sourced HMS 1&2 80:20 scrap was assessed at $400/t CFR Taiwan, gaining Yuan $5/t on week, while that of Japan-origin H2 scrap grew further to $425/t CFR Taiwan, seeing a larger rise of $15/t from one week before, a local market source said.
“The recovery in international scrap markets is in line with our expectations as demand (for scrap) remains firm in Taiwan, now that we’re in the traditional peak season for steel consumption,” a market source on the island said.
Besides, the frenzied rise in Chinese domestic steel prices also boosted sentiment in Taiwan’s steel market, Mysteel Global was told.
For example, the Q235 150mm square billet price in Tangshan, in North China’s Hebei province, refreshed its 12.5-year high to hit Yuan 5,020/tonne ($764.5/t) EXW on April 5, according to Mysteel’s data. China’s national HRB400E 20mm rebar price also touched a new 9.5-year high of Yuan 5,015/t on April 2, both including the 13% VAT.
Written by Nancy Zheng, zhengmm@mysteel.com
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