Distributors hold prices amid weak demand: Distributors are largely maintaining current price levels due to losses, even though market operating prices are discounted against mill offers. Mills provided no price support for May.
Buying activity remains weak. Buyers are exercising caution with stocking, opting for need-based procurement to benefit from recent price downtrends, especially given anticipated monsoon challenges.
“Distributors are trying to keep prices firm as mills haven’t offered any price breaks for May. Meanwhile, buyers are holding back, only purchasing what’s essential to capitalise on falling prices and to avoid monsoon blues,” a market participant noted.
Import trends: India’s bulk imports of HRCs and plates touched 45,882 t as of 7 June, based on vessel line-up data from BigMint. Around 129,277 t of additional cargo are expected by month end.
Export trends: Indian HRC export offers to the EU dropped by $15/t w-o-w to $620–625/t CFR Antwerp, while demand stayed weak. European prices remained under pressure due to slow domestic demand and holiday-related seasonal slowdown.
In the Middle East, demand remained sluggish post-Eid, further impacted by summer season lull and higher US import duties, according to a source.
Outlook
HRC prices are expected to remain rangebound in the near term amid weak demand and steady trade-level offers. CRC prices may face mild downward pressure, as cautious buying and monsoon-related disruptions weigh on sentiment despite no mill-level price support.
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