Chinese Rebar Export Offers Surge by USD 50/MT W-o-W

Global rebar offers are quite closer or higher to MIP imposed on bar and rod by the Indian government.

Chinese rebar and wire rod export offers have further moved up in the current week. At present, Chinese rebar and wire rod export offers stand at around USD 415/MT and USD 430/MT, FoB main port respectively; have gone up by USD 50-40/MT in a week’s time.

Similarly, domestic/spot rebar prices for HRB 400 grade (25 mm) in Beijing have moved up by RMB 200/MT (USD 31/MT) within a week and stood at around RMB 2,980/MT (USD 459/MT). The same grade material in Shanghai stood at around RMB 2,900/MT (USD 447/MT); up by RMB 400/MT (USD 62/MT) in the same period.

Rebar export offers in other global markets like Turkey and CIS, including UAE imported offers have also moved up in the same duration.

Global rebar offers are quite closer or higher to Minimum Import Price (MIP) imposed on bar and rod, which were fixed at USD 449-455/MT under chapter 7213, 7214 and 7217 by Indian government earlier in Feb’16.

Pre MIP imposition, China is one of the major suppliers of rebar and wire rod to Indian market owing to cheaper material and better viability.

Global rebar offers (18-24 Apr’16)

USD 1 = INR 66.6, USD1 = RMB 6.4898
Source: SteelMint Research