Chinese wire rod offers for chrome added material have declined approximately by USD 5/MT for October shipments.
The global market seems to be affected by the depreciating Chinese currency Yuan and declining Chinese billet prices. This week imported offers for chrome added wire rod came down to USD 315-318/MT FOB and USD 330/MT CFR Mumbai for October shipments.
Chinese exporters revealed that new booking inquiries have not come because buyers anticipate further price fall. However, exporters are still very skeptical about reducing prices further as they expect that bookings would be done at these prices if the offers remain stable until next week.
Meanwhile, it is being heard that Chinese origin boron-added wire rod is being offered at USD 360-362/MT CFR. (Imported wire rod offers of 6.5 mm)
The secondary wire rod manufacturers in Raipur are offering the material at INR 27,000/MT( size 5.5 mm, basic price).
Indian steel manufacturers apply for ‘safeguard duty’
Since the impact of the rise in import duty by 2.5% on finished long is very low, safeguard duty would provide further support to domestic manufacturers to discourage imports.
After the Earning conference call by JSW Steel Limited held on 29 July’15, one of the top officials said,” We have applied to the government for the imposition of safeguard duty on wire rods, HRC and color-coated and it will be applicable to FTA countries as well.” He also added that safeguard as a measure can cover all countries at the same time, whereas anti dumping duty is against a particular country because of the injury that country is causing to you.
Qty of Wire Import – Alloy and Non Alloy (QTY in MT)
|
Monthly |
(Ch-7227)Alloy | (CH-7217) Non-Alloy | Total |
Inc/Dec |
| Jan’15 | 82,145 | 9,383 | 86,128 | |
| Feb’15 | 85,903 | 11,301 | 97,204 | + 12.8% |
| Mar’15 | 57,487 | 10,703 | 68,190 | – 29.8% |
| April’15 | 32,525 | 10,769 | 43,301 | – 36.4% |
| May’15 | 34,366 | 13,142 | 47,508 | + 9.7% |
| June’15 | 73,798 | 11,390 | 85,188 | + 79.3% |
| July’15 | 71,347 | 12,954 | 84,301 | – 1.04% |
| Aug’15(upto 7th Aug) | 30,604 | 1,454 | 32,058 |
Source: SteelMint Research
Global Wire Rod Prices (Mesh quality wire rod)
| Region | Wire Rod | W-o-W |
| China export(FOB main port) | 318 | – 5 |
| CIS export(FOB Black Sea) | 380 | 0 |
| South East Asia(CFR) | 330 | 0 |
Prices in USD/tonne
Leave a Reply