Global Flat Steel Market Overview- Week 29,2018

Chinese HRC Export offers remain range bound- Chinese HRC export offers remain largely stable amid weak demand from South East Asian buyers.Meanwhile demand in domestic market continued to remain on lower side thus keeping export offers firm.

Currently Chinese HRC export offers heard around USD 580-585/MT,FoB China. Payment are made on letter of credit basis for 1,000-10,000 MT.

Prices of HRC in the domestic market are gauged at RMB 4,250-4,270/MT (ex-works) in Eastern China and 4,170-4,180 /MT (Northern China).

Overseas buying interest continued to remain weak as they are not in urgent requirement of material at the moment.

CIS origin HRC export offers remain stable over inactive demand- CIS origin HRC export offers have remained stable this week.Turkish buyers are reluctant to book the material amid delay in safeguard case from European commission.Thus end users in Turkey have postpone their purchases.

Meanwhile bearish sentiments in Turkey market resulted to depreciation of national currency Lira against USD.Thus buying activity remained slow.

Currently HRC (2.5 mm S235 JR) export offers are heard around USD 560-575/MT FoB Black Sea.However last week the prices stood in the similar range.Although  offers from major mills in Russia are on higher side.

Vietnam’s Imported HRC offers remain Unchanged-This week imported offers of HRC remain stable amid weak buying interest from end users in Vietnam.Buyers in Vietnam are quoting bids on lower side as they are expecting further fall in Chinese HRC prices.

Currently Chinese mills are offering imported HRC (SAE 1006) to Vietnam in range of USD 600-605/MT CFR basis.However end users are bidding around USD 590/MT CFR basis.No major deals concluded yet.

Indian HRC export offers edge down- Last week Indian steel mill have reduced HRC export offers by USD 5-10/MT for South East Asian nations in line with falling HRC export offers from China.

Last week,a major Indian steel mill based in western region has concluded a deal of 5000 MT of HRC cargo to Vietnam buyer in the range of USD 600-605/MT CFR basis.

Meanwhile Indian govt. owned steel mill – Steel Authority of India Limited (SAIL) has recently floated tender for export of 16,200 MTPrime mild steel non-alloy hot rolled coils from its Bokaro Steel plant in the beginning of the week. HRC offered has thickness of 2.6-12 mm and grade JIS G3101 SS400. The material shipping was scheduled by 30 Sept’18.

However as per market sources tender received poor response and tender was cancelled.

Global Flat Steel Export Offers – Week 29, 2018

Source-SteelMint Research