SE Asia: Billet import market remains bearish as prices fall w-o-w

South-East Asia’s imported billet market remained largely inactive this week, with prices falling w-o-w due to low buying interest, SteelMint notes.

SteelMint’s bi-weekly assessment for billet (150x150mm, 3SP) imported by the Philippines currently stands at around $530/tonne (t) CFR Manila, down by around $5/t, w-o-w.

Market highlights

• Thailand’s imported billet market silent: Thailand’s billet market witnessed low buying amid bid-offer disparities. Imported billet offers stood at around $550-555/t CFR, as per sources. However, bids are yet to improve.
• Iranian billet export prices rise in recent deals: Iran’s billet export market remained active this week with prices increasing in recently-concluded deals. Demand from the Gulf Cooperation Council (GCC) has lent support to billet export prices, SteelMint understands. An Iranian mill has concluded an export deal for 40,000 t of steel billets, sources informed SteelMint. The deal was concluded at $479/t FOB and the shipment is scheduled for December. In another deal, an Iranian mill sold 30,000 t of BF-route steel billets at $480/t FOB. SteelMint’s latest assessment of Iran’s billet (3SP) export prices stood at around $480/t FOB on 21 October, up by around $15/t w-o-w.

Outlook

Global ferrous scrap prices have witnessed a fall of around $7 w-o-w. That apart, subdued finished steel demand is likely to keep global billet offers lower.