Feng Hsin Steel, Taiwan’s largest rebar producer headquartered in Taichung, Central Taiwan, has decided to roll over its rebar list price and procurement price of locally-sourced scrap for business over September 27-October 1 to monitor market changes during the period, a company official confirmed on Monday.
Consequently, the mini-mill’s list price for 13mm dia rebar stays at TWD 23,100/tonne ($833.9/t) EXW, being unchanged on week after a total of TWD 500/t was added over the prior two weeks, as reported. Feng Hsin is still paying TWD 12,200/t for local HMS 1&2 80:20 scrap for purchases till this Friday after raising its buying prices over the prior three weeks by a total of TWD 800/t.
Taiwan entered the traditional peak season for steel consumption from the start of this month but demand from end-users has not seen a significant improvement so far, according to the official.
“Steel users were not active in placing new orders last week as we did not offer any discounts in the actual trading discussions,” Feng Hsin’s official told Mysteel Global.
Scrap prices in the global market continued to strengthen last week, but the on-week growth slowed, persuading local mini-mills to maintain their rebar list prices and scrap buying prices to wait-and-see.
As of September 27, the price of US-sourced HMS 1&2 80:20 scrap was assessed at $465/t CFR Taiwan, up for the third week by another $3/t on week, and that of Japan-origin H2 scrap also posted a tiny on-week rise of $2/t to $495/t CFR Taiwan, a local market source said.
Some steel producers in China also lifted their scrap buying prices to encourage deliveries, given the limited stocks available and preparations for operations during the National Day holiday over October 1-7, Mysteel Global noted. Shagang Group, a leading electric-arc-furnace (EAF) mill in East China’s Jiangsu province, has added Yuan 50/tonne ($7.7/t) onto its domestic steel scrap procurement price starting September 27, as reported.
Written by Nancy Zheng, zhengmm@mysteel.com
This article has been published under an article exchange agreement between Mysteel Global and SteelMint.
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