Chinese billet export offers fell further this week owing to volatility in future prices and falling coking coal prices. Offers have dropped by USD 5-10/MT (w-o-w) and currently being assessed at USD 405-410/MT FOB for 150*150mm Q235 grade.
Participants mention, Chinese steel prices are on a downward trend due to winter season which will impact demand. Moreover falling coking coal prices will also play an important role to bring down the prices.
Participants also mention that, steel mills in China have not cut their offers but traders who have stock are offering at lower levels. Some deals to South East Asia have been reported at around USD 420-425/MT CFR.
Indian Billet Export Offers
Last trade of 15,000 MT billet (150*150mm) was reported at USD 405/MT FOB Haldia (India east coast) for Indonesia. Another tender of 90*90mm by Vizag steel for Nepal was concluded at around USD 395/MT (Ex-Mill,Vizag).
Global Billet Prices:
| Particular | Delivery | Grade | Currency | Price | W-o-W | Remarks |
| China Export | FOB China | 150*150mm | USD | 405-410 | 410-415 | Chinese domestic billet offers fall on buyers resistance |
| India Export | FOB Vizag | 150*150mm | USD | 400-405 | 405-410 | Last tender was concluded at $405/MT FOB Haldia Port |
| CIS Export | FOB Black Sea | 125*125mm | USD | 390-395 | 395-400 | Prices correct marginally on Chinese offers |
| South East Asia Import | CFR SE Asia | 150*150mm | USD | 415-420 | 420-425 | Buyers resist as domestic demand does not support higher prices. Buyers expect prices may fall further |
| Bangladesh Import | CFR Chittagong | 150*150mm | USD | 400-405 | 400-405 | No buying interest from Bangladesh re-rollers. Buyers prefer scrap over billet as billet attracts high import duty |
| Middle East Import | CFR Dubai | 150*150mm | USD | 410-415 | 415-420 | Prices fall on lower offers from Iran and domestic availability |
| Turkey Import | CFR Turkey | 125*125mm | USD | 410-415 | 415-420 | Billet prices remain range bound |
Resource: SteelMint Research
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