Chinese mills have once again witness the sharp increase in HRC export prices by USD 5-10/MT owing to strengthen market sentiments in China.However in the backdrop of rise in China’s domestic prices,HRC export prices are seen inflated in the global market.
Moreover HRC export offers have seen the hike in second consecutive week and are prevailing in the range of USD 425-435/MT, FoB China. Last week the offers were heard in the range of USD 420-425/MT,on FoB basis.
“Few mills in China are offering HRC at USD 440-450/MT, FoB China, however trades remain limited”, shared a west India based importer.
Meanwhile prices of HRC in domestic market are heard to be in the range of RMB 3,190-3,220/MT which is equivalent to USD 462-466/MT, including VAT & other taxes.
Since the sudden rise in export offers have forced the overseas buyers to to adopt wait and watch mode on account of volatility in Chinese market.
However,oversupply in domestic market coupled with stringent production rules for pickling plants and galvanized producers may cause softening in HRC demand and pessimistic sentiment in China.
Japanese HRC Export offers static ahead Golden Week Holidays
As per market sources, Japanese steel mills would like to watch the market sentiments till 1st week of May owing to Golden Week Holidays starting tomorrow i.e. 03 May’17. Last offers were assessed at USD 480-500/MT, FoB Japan.
Indian HRC Export Offers remain Unchanged
Indian HRC export offers are on similar levels and are heard to be in the range of USD 475-490/MT,FoB India this week owing to lesser buying inquiries in the global market.Besides this Chinese export offers still remain competitive against India which may cause further decline Indian export offers.
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