After three long weeks, the Iranian billet export market reported having booked some volumes for China with increased prices. Also, a few mills are likely to line up the export tenders in the coming weeks. From the past few weeks, the Iranian mills have seen engaged in maintaining the supply parity in the domestic market supported by the government’s exercise to discover the real market prices and to maintain transparency, which asked the mills to increase domestic supply.
The sharp hike in global scrap offers has also supported global billet offers. Imported scrap prices in Turkey have increased by $5-10/t w-o-w in recent deals concluded.
This week SteelMint’s assessment for Iranian billet export offers stand at $415-420/t, FoB Iran, up by $5-8 against last week.
Chadormalu billet export prices up by $10 m-o-m in the recent deal: Chadormalu Mining and Industrial Company, one of the leading steel exporters of Iran, had floated an export tender for 30,000 billets. According to SteelMint sources, the company managed to conclude the tender at the price levels of $420/t, FoB Iran, up by $10-12 against previously booked tender in the last month. The shipment is likely to be scheduled by Mid-Dec’20.
KSC to float 30,000 t billet export tender: Khouestan Steel Company, Iran’s leading steel exporter, is likely to float an export tender for 30,000 t billets for Dec’20 shipments. The company is eyeing to achieve the price levels of $420-425/t, FoB Iran, in this tender. The bidding due for the tender is 18 Nov’20, the official reported to SteelMint.
Domestic billet prices witness a fall at IME demand revives: This week, the domestic billet prices at the Iranian Mercantile Exchange (IME) saw a drop of IRR 5,410/kg ($16). However, the demand has revived during this week. In a recent trade event hosted by IME, approximately 71,100 t billets reported having traded at an average price of IRR 97,789/kg ($378/t).
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