- Price cut aims to boost weak domestic sales
- Production curbs in China lift steel prices
Mysteel Global: Taiwan’s largest rebar producer, Feng Hsin Steel, has reduced its rebar list price by TWD 200/tonne ($7/t) for deals over 27-31 October, while keeping its local scrap buying price unchanged to monitor market trends, according to a company official.
With this adjustment, the mini-mill is now offering 13mm dia rebar at TWD 16,200/t EXW until this Friday. Meanwhile, its buying price for local HMS 80:20 scrap remains steady at TWD 7,800/t, unchanged week-on-week.
Global scrap prices delivered to Taiwan have stayed mostly stable in recent weeks, prompting mills to maintain current procurement rates while adopting a wait-and-see approach, Mysteel Global noted.
As of 27 October, the US-sourced HMS 80:20 scrap price stood at $300/t CFR Taiwan, unchanged since late September. There were no fresh offers for Japan-origin H2 scrap last week, a local market source said.
Feng Hsin’s rebar price cut was mainly aimed at stimulating sales amid muted end-user demand, despite the fourth quarter being the traditional peak season for steel consumption in Taiwan.
In contrast, mainland China’s rebar market showed signs of strengthening early this week, supported by positive sentiment from production curbs in northern China to improve air quality and a “preliminary consensus” reached between US and Chinese negotiators on key trade issues.
As of 27 October, China’s national HRB400E 20mm dia rebar price, as assessed by Mysteel, was RMB 3,234/t ($456/t) including 13% VAT, up RMB 17/t from the previous week.
Note: This article has been written in accordance with a content exchange agreement between Mysteel Global and BigMint.
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