Market sources shared with SteelMint that Indian steel mills have booked HRC from Japan for Oct end-early Nov shipments. Indian importers have booked around 20,000 MT of HRC (2mm) at USD 645/MT, CFR India.
As per our understanding, landed cost of (HRC 2mm) is assessed around USD INR 47,500/MT (ex-Mumbai).
Earlier this month Indian steel mill booked around 20,000 MT of HRC (1.8 mm) at USD 645/MT CFR basis for Sep-Oct shipments.
Market participants commented that,Indian mills are importing thinner gauge HRC owing to limited production in domestic market along with expected domestic price hike in the month of September which would be around INR 1,000/MT in flat steel products.
Indian Importers choose Japanese/Korean HRC over FTA-It is to be noted that India has signed FTA for ten years with Japan and South Korea which provide an exemption from duties on imports coming from the two countries, thus making it preference over Chinese origin HRC.
Meanwhile post imposition of USA tariffs on Japan and South Korea steel, export volumes are being diverted to India.Thus resulting to increase in import volumes of steel in India.
India imported 18% flat steel from Japan in Jan-Jul’18 – As per the data maintained with SteelMint, Indian flat steel imports stood at 3.48 MnT in Jan-Jul’18. Out which imports from Japan stood at 0.62 MnT and has occupied the share of 18% in Jan-Jul’18.
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