SE Asia: Imported billet offers rise w-o-w; trades yet to improve

Imported billet prices in South East Asia edged higher this week, although demand still remains low. Global ferrous scrap prices rose sharply last week with Turkiye’s imported scrap prices moving up by around $25/t w-o-w which supported billet prices.

However, market participants adopted a wait-and-watch approach owing to weak finished steel sentiments in the region which kept trades at bay.

SteelMint’s bi-weekly assessment for billet (150x150mm, 3SP) imported by the Philippines currently stands at $515/tonne (t) CFR Manila, up by $5/t, w-o-w.

Market highlights

• Vietnam’s billet export offers up: Vietnam’s BF-grade billet export offers increased by around $20/t as against 18 November. Current offers are at around $500/t FOB. However, no active deals have been reported so far at current offers.
• Thailand’s imported billet prices edge up: Imported billet offers stood at around $510/t CFR, up by $5/t w-o-w, as per sources. Also, offers from Iran were heard at comparatively lower levels of $485/t CFR.
• Indian billet export tenders remain inconclusive: The recent billet export tenders floated by the Indian primary mills fetched weak response, and the tenders failed to conclude. Indian mills were expecting price levels at around $505-510/t FOB. However, firm bids remained absent due to lower price levels in importing nations at around $505-515/t CFR Manila. With the recent recovery in global scrap prices, global billets prices may firm up in the near term.
• Iranian billet market sees limited trading: Iran’s billet export market witnessed limited trading with prices remaining stable w-o-w. Falling global scrap prices, weak demand and bid-offer disparities continued to weigh on billets exports, SteelMint notes. Meanwhile, an Iranian mill concluded an export deal for 40,000 t of steel billets at around $455/t FOB for December shipment. Another 30,000 t export deal was concluded at around $460/t FOB, sources informed. SteelMint’s latest assessment of Iran’s billets (3SP) export prices stood at $455/t FOB on 2 December, down around $3/t w-o-w.