Global HRC & CRC Market Overview- Week 46, 2019

Indian HRC export market market remains active on recent bookings to Vietnam- Indian steel mills raised HRC export offers last week to USD 440/MT CFR basis for Dec shipments. Meanwhile towards end of last week a major Indian steelmaker booked 15,000 MT HRC with Vietnam at USD 435/MT CFR basis for Nov-Dec shipments.

Along with this another major steel producer booked 30,000-40,000 MT of HRC with Vietnam at USD 435-438/MT CFR basis for Nov – Dec shipments. Thus Vietnamese are preferring Indian HRC cargoes over China amid competitive pricing.

Indian HRC export offers to Nepal – Indian steel mills are offering HRC for exports to Nepal at around USD 435/MT (ex-plant) basis citing little improvement in the domestic market.However the enquiries from Nepal based importers were at USD 430/MT ex-plant basis. Meanwhile bookings are also on hold for Nov-Dec shipments owing to gap between bids and offers.

Imported HRC offers to Vietnam- Imported HRC offers to Vietnam moved up since the beginning of this week from major exporting nations.

Current HRC offers to Vietnam

1.HRC (SAE 1006) 2mm/ Chinese offer- Rizhao Steel offers at USD 450/MT CFR basis.

2.HRC (SAE 1006) 2mm/ Japanese offer- Nippon Steel offers stand at USD 445/MT CFR basis.

3. HRC (SAE 1006) 2mm/ South Korean offer- Hyundai Steel offer stands at USD 440/MT CFR basis.

4. HRC (SAE 1006) 2mm/ Russian offer- MMK issued its offers at USD 440/MT CFR basis.

5.Vietnamese integrated steel maker Formosa Ha Tinh is likely to announce its revised HRC offers towards the end of this week for Dec-Jan shipments.

Chinese HRC export offers remain range-bound- Chinese HRC export offers remained stable on a weekly premise. Increased competition in the overseas market coupled with recent production curbs to curtail supply ahead of winter season propelled traders to shift focus towards the domestic market amid improved margins.

Thus currently nation’s HRC export offers continue to hover at USD 435-440/MT FoB basis.Last week offers stood at similar range

Meanwhile prices witness decline in domestic market and stood at RMB 3,510-3,520/MT (Eastern China) and RMB 3,510/MT in (Northern China) fell by RMB 10-20/MT on D-o-D basis.

CIS nations raise HRC export offers on improved sentiments- CIS- origin HRC export offers rose by around USD 10-15/MT on weekly basis amid improved market sentiments.

Thus, current HRC export offers stand at USD 375-385/MT FoB Black Sea, which was USD 360-375/MT FoB basis in the preceding week.

Thus suppliers are ready to sell material on bullish market sentiments as they were reluctant to make bookings at low prices last week.

Global HRC CRC Market Overview- Week 46, 2019

Source- SteelMint Research