China: Rebar Export Slump in line with sluggish Domestic Market, W-o-W

China, being largest steel producer, has again reduced the export offers by USD 20/MT in Week 17 due to thin buying interest and a sharp dive in the spot market. Current rebar export offers are gauged at USD 415-420/MT, FoB Main port.

Tumbling in the Chinese billet prices are directly affecting the rebar sales and prices.

Eastern China based steel giant, Shanghan, also cut the prices for Rebar HRB400 for late April. The price cut is around RMB 250/MT (USD 36) than the previous prices. Current offers by the plant for rebar are RMB 3,350/MT (USD 492).

Today, Chinese spot market has moved marginally up since yesterday, but the bearish sentiments are still persisting amid rebar manufacturers and distributors coupled with the lull transaction. The temporary recovery is unsustainable as the rebar prices in spot market are higher than the Hot rolled prices, which can be the reason for fall in price of rebar.

Other global markets fell marginally by USD 2/MT. Turkey exports offer fell slightly amid decline in the scrap prices and sluggish demand with current offers at USD 420-425/MT. UAE imports and CIS Exports also registered same fall with offers in the range of USD 425-430/MT and USD 410-415/MT respectively.

Global Rebar Prices as on 21 Apr’17 (Week 17)

 USD 1 = INR 64.64, 1 USD= RMB 6.88/MT
Source: SteelMint Research