South Korea: Steel Mills Hike HRC Export Offers On Rising Chinese Price Trend

South Korea HRC export offers have increased on soaring Chinese steel prices.Mills in South Korea are heard offering  HRC at USD 520/MT FoB basis. However no deals have been confirmed.

Chinese HRC export offers Hit 3 years High
Chinese HRC export offers is moving rapidly in the upward direction and have reported 3 years high.Nation has again raised their HRC export offers by USD 20/MT on higher prices prevailing in the domestic market.

Currently HRC commercial grade ASTM A36 export offers are prevailing in the range of USD 520-540/MT, FoB China. Payment are made on letter of credit basis for 1,000-10,000 MT.

Meanwhile prices of HRC in domestic market are heard in the range of RMB 4,070-4,100/MT which is equivalent to USD 606-610/MT,including VAT & other taxes.

Major mills in China are offering in the range of USD 555-560/MT on FoB basis.However,some deals have been confirmed with South Korea and Vietnam in the range of USD 520-530/MT on FoB basis.

Japanese Mills Holds HRC Export Offers
Market participants shared that Japanese steel mills are holding HRC export in the backdrop of rising Chinese export prices which has hit the 3 years high in the global market.

Moreover, some mills have stop quoting offers due to maintenance purposes. But exporters are likely to resume the export offers after 10-15 days.

Previously Japan HRC export offers are hovering in the range of USD 525/MT, CFR Mumbai which is equivalent to USD 500/MT FoB Japan.

HRC Export offers as on 8 th Aug’17

Source-SteelMint Research