South East Asia’s imported billets prices witnessed a decline in recent deals concluded from Vietnam. A leading Vietnamese steel mill reportedly sold around 30,000-40,000 tonnes (t) of billets (modified 5SP grade) to the Philippines at around $680/t, CFR. The shipment is likely to be scheduled for Aug’21.
Some offers for blast furnace (BF) route billets are heard at around $685-690/t, CFR Manila, a trader informed.
SteelMint’s bi-weekly assessments of imported billet offers into SE Asia are currently at $673/t, CFR Manila, down by $20/t against last week.
Deals and offers:
India: Mills continued to remain active in exports given the subdued domestic demand. An Indian mill reportedly sold around 18,900 t of steel blooms (200*280mm) through an export tender recently. According to SteelMint sources, the tender was concluded at around $610/t, on FoB basis, for Aug’21 shipments, with a South East Asian nation being the most likely destination.
Vizag Steel floated a spot export tender for 30,000 t of steel blooms (150x150mm, 3SP/4SP grade), as per SteelMint reports. The tender is against 100% advance payment with a due date on 25 Jun’21.
Apart from this, an eastern India-based private mill had also floated a tender for 20,000 t of billets (150*150mm) and around 50,000 t of rebars and wire rods. Due to lower bids, the mill was heard to have cancelled wire rod and rebar export tenders. However, the billet export tender may get concluded for SE Asia, sources said.
Vietnam: The BF-route billet offers from the country dropped sharply by $20/t, on a w-o-w basis, amidst the volatile rebar futures market. According to SteelMint sources, BF-route offers are at $650/t FoB, while IF-route offers are at around $645/t FoB.
Thailand: Indicative imported billet offers into the country are at $680/t CFR from Indonesia and Vietnam.
Market sentiments turned slightly supportive today (25 Jun’21) after the steel futures in China rebounded. According to data maintained with SteelMint, the Shanghai Futures Exhange (SHFE) rebar futures Oct’21 contracts today settled with a d-o-d rise of RMB 133/t ($21/t) to RMB 5,066/t. Following this, domestic billet prices in China also strengthened today to RMB 4,840/t ($750/t) in Tangshan, including 13% VAT.
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