- Feng Hsin lowers rebar offers amid sluggish demand
- Taiwan scrap market steady despite weak steel sales
Mysteel Global: Feng Hsin Steel, Taiwan’s largest rebar producer, has decided to cut its rebar list prices by TWD 300/tonne (t) ($10/t) for transactions over 13-17 October, while it continues to roll over its procurement prices of local scrap during the same period, according to a company official.
With the latest adjustment, the Taiwanese mini-mill is offering its 13mm dia rebar at TWD 16,400/t ($537/t) exw for business discussions till this Friday, while its buying price of local HMS 80:20 scrap stays at TWD 7,800/t ($256/t), unchanged for the past month, the official confirmed.
Feng Hsin Steel cancelled its weekly pricing meeting on 6 October due to the public holiday in Taiwan to celebrate the Mid-Autumn Festival, Mysteel Global was told.
Prices of global scrap delivered to Taiwan remained firm overall during the past two weeks, lending some support to Taiwan’s local scrap prices to some extent, Mysteel Global learned.
As of October 13, the price of US-sourced HMS 1&2 80:20 scrap was reported at $300/t CFR Taiwan, the same level as at the end of September, while that of Japan-origin H2 scrap came in at $315/t CFR Taiwan, rising by $2/t during the same period, according to a local market source.
However, the lackluster demand for rebar persuaded local mini-mills on the island to cut their list prices for this long steel. Meanwhile, rebar prices in the Chinese mainland also remained weak after the long holiday over 1-8 October for the National Day and Mid-Autumn Festival, as many domestic rebar suppliers had to make some concessions in their offering prices to facilitate sales given the hesitant demand. This trend put some pressure on Taiwan’s rebar market as well, Mysteel Global noted.
On 13 October, China’s national price of HRB400E 20mm dia rebar under Mysteel’s assessment registered RMB 3,235/t ($453/t) including the 13% VAT, down by RMB 26/t ($4/t) from the end of September.
Note: This article has been written in accordance with a content exchange agreement between Mysteel Global and BigMint.
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