Chinese Mills Cut HRC Export Offers Following Price Decline in Domestic Market

Chinese HRC export offers have observed sharp correction following price decline in domestic market over weak and dull buying .Trade sources mentioned amid slow buying,Chinese mills are facing inventory pressures which may result to further decline in HRC export offers in near term.Thus few overseas buyers have withdrawn their bids and are waiting for further drop in prices.

Currently Chinese HRC price assessment is in the range of USD 590-610/MT,FoB China.Payment are made on letter of credit basis for 1,000-10,000 MT.

Meanwhile major mills in China have also slashed their HRC export offers.

Meanwhile prices in the domestic market are gauged at RMB 3,900-3,930/MT (ex-works) in Eastern China (down by RMB 20/MT D-o-D)

Vietnam HRC import offers from Chinese mills move down-Vietnam imported HRC offers from China have come down amid uncertainty in Chinese flat steel prices. Chinese mills are heard offering HRC at around USD 620-625/MT, CFR Vietnam.

However end users are bidding imported HRC on lower side and less by USD 10-15/MT than current levels.

CIS nations witness marginal decline in HRC export offers – CIS nations witness marginal decline in HRC export offers by USD 5/MT since the suppliers have hold the offers amid falling prices of HRC in Chinese market.

Currently HRC export offers from CIS nations are prevailing in the range of USD 605-625/MT,FoB Black Sea.However as per previous week price assessment was in range of USD 610-625/MT FoB Black Sea.

Russian based mills are offering HRC at USD 625/MT FoB basis is equivalent to USD 640/MT CFR Turkey.

Global Flat Steel Export Offers-Week 12, 2018

Source-Steelmint Research