Depreciation in Chinese currency starts to show its impact; export offers begin to fall.
Billet offers from China witnessed a fall of USD 10/MT in a week’s time. Currently, the nation is offering billet at USD 315/MT CFR Bangladesh, which was previously offered at USD 325/MT, CFR Bangladesh.
Chinese government has intentionally devalued the currency to boost exports from the nation and save its manufacturing sector which is experiencing a 6 1/2- year low. But this as a result has caused panic among other currencies and equity market of nations across the globe. Yuan has experienced a fall of around 4.4% in past few days till now.
Billet offers from Russia
Billet offers from other nations like CIS (Russia, Ukraine) to Bangladesh are found to be at USD 335-340/MT CFR Chittagong and are expected to fall further, after witnessing the chain effect of currency depreciation in Russia, Ukraine also.
Billet offers from India
Talking about India, it has recently closed a deal of around 55,000 MT of 150*150 billet to Bangladesh at USD 325-330/MT, FoB Vizag Port. Freight charges to Bangladesh is expected at around USD 15/MT, that would make it around USD 340-345/MT CFR Chittagong.
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