Chinese billet export offers fall this week owing to subdued demand and oversupply in market. Current offers for commercial grade (Q235) billet of size 150*150 mm are assessed in the range of USD 250-255/MT, FoB Chinese main port against USD 260-265/MT, FoB China last week.
However, participants feel that there is limited scope of fall from this level as Chinese mills have started shutting down their operations owing to heavy losses.
Chinese billet offers to Bangladesh are assessed at USD 265-270/MT, CFR Chittagong and around USD 268-270/MT, CFR Middle East and USD 270-275/MT, CFR Turkey.
Billet offers at Black Sea rise on higher scrap offers
Russian and Ukrainian billet makers are trading billets at a higher level, owing to increased scrap offers in Turkey. Billet prices have gone up by USD 10-20/MT in last few weeks. Current offers for square billet are around USD 280-285/MT, FoB Black Sea.
Global Offers as on 18 Nov’15
| Particular | Currency | Price | Change | Comment |
| FoB China | USD | 250-255 | -10 | Q235, 150*150 mm |
| FoB Black Sea | USD | 280-285 | +10 | Square billet 130*130 mm |
| FoB India | USD | 280-285 | 0 | Last Tender Price for 150*150 mm |
| CNF Bangladesh | USD | 265-270 | -8 | Chinese Origin, Q235, 150*150 mm |
| CNF Middle East | USD | 268-270 | -8 | Chinese Origin, Q235, 150*150 mm |
| CNF Turkey | USD | 290 | 10 | Black Sea origin |
| Ex-Mumbai,India | INR | 22,000 | +150 | Excld Excise and VAT |
| Ex-Tanshang, China | RMB | 1,550 | -10 | Incld 17% VAT |
USD 1 = RMB 6.3796 ; INR 66.20
Source: SteelMint Research
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