Iranian billet export offers continued to remain unchanged for this week as well. However, the country has booked decent volumes for China and Thailand.
From the past three weeks, the export offers from the country are at $400-405/t, FoB levels. Most of the mills are now targeting above $405/t, FoB levels, which is like an ambitious target considering the current market situation, said Planner official. Although the mills are likely to increase the offers by next Iranian week (Post Friday), not before CIS offers goes higher than $400/t, FoB, he added. Also, a recent hike in Turkey’s imported scrap price is likely to pull the country’s billet export offers in the near short term.
Chadormalu books 60,000 t billets for Thailand and China- Since last week, the company has booked 60,000 t billets for Thailand and China; 30,000 t each. The company managed to achieve the price levels of $398/t, FoB Iran for Thailand Shipment, and $404/t, FoB Iran for China Shipment. Both the shipments are likely to be scheduled by end-Sep’20.
This week SteelMint assessed billet export offers from Iran to be at $400-405/t, FoB Iran, unchanged against last week.
IME saw no billet trades this week- This week, all billet deals have canceled at the Iranian Mercantile Exchange (IME). The quantity offered for the week was around 106,000 t. According to SteelMint sources, the deal values have reached the levels of IRR 93,000/kg (~$439/t). Hence, the government aborted all the deals. The Iranian government keeps a check that domestic steel prices should not gain extreme volatilities. The IME is likely to host the next billet trade event on the coming Saturday (05 Sep’20), a market source said to SteelMint.
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