This week, SE Asian billet import market reported having booked decent billet volumes from India and Russia on increased prices. The bookings are prominently for the Philippines for Oct-Nov’20 shipments. The offers in the region reached $450-455/t, CFR levels, while bids were at $440-445/t, CFR levels. Amid rising demand, the bid-offer spread contracted this week.
Deals & Offers-
- CIS- The offers from the region for a SE Asian destination saw a marginal increase and were at $450-455/t, CFR, up by $5, against last week. Sizeable billet cargoes booked for the Philippines from Russia at $450-455/t, CFR, this week.
- India- Indian billet prices have climbed up this week to reach $430/t, FoB India, up by $2-3/t against last week. This week, after a long while, Indian private primary mills reported having booked multiple cargoes of 3SP and 5SP grade booked for the Philippines at $440-442/t, CFR, and $450/t, CFR, respectively. However, SteelMint could not confirm the quantity until the publishing time of this report. On the other hand, secondary mills noted actively booking cargoes for SE Asian destinations during this week as well.
- Iran- The offers from the country were at $410-415/t, on FoB Iran basis, up by $5 against last week. However, the mills are looking to conclude the new deals above $415/t, FoB Iran.
- Vietnam- This week, the billet offerings from the country remained unchanged against last week and are standing at $450/t, FoB.
- Thailand- Market participants reported softening in imported billet offers to $440-445/t, CFR; down by $5-10 w-o-w
This week, SteelMint’s assessment for billet import offers in SE Asia has moved up sharply and is currently at $445-450/t, CFR, up by $10 against last week.
Outlook – Decline in Chinese steel futures along with softening global scrap market sentiments may turn global billet sentiments weak. Few traders indicated that Chinese mills are likely to turn active for steel exports considering the decline in futures.
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