Vietnam’s domestic steel producer – Formosa Ha Tinh Corporation has recently announced their revised steel offers today. Company has reduced HRC offers by USD 15/MT for September shipments amid lower offers for imported HRC to Vietnam along with reduced buying interest at previous offers. Thus these offers are considered as a benchmark for Vietnamese buyers.
As per company sources, currently Formosa is offering HRC (skin pass) at USD 610/MT CIF Ho Chi Minh City.However in previous month company had raised the offers by USD 10/MT to USD 625/MT CIF basis.
Market participants in conversation with SteelMint shared that imported HRC offers from Chinese and Indian mills witness significant decline since they are currently offering HRC (SAE1006) at USD 600-605/MT CFR Vietnam.
Following this,domestic producer Formosa have also decline their HRC offers amid competitive pricing.Previously company was providing HRC on higher side however weak buying interest from end users in Vietnam has propelled company manufacturers to keep HRC offers on lower side.
Meanwhile company has also cut wire rod prices marginally by USD 5/MT which is assessed at USD 590/MT CIF basis. However last week wire rod offers was around at USD 595/MT CFR basis for August shipments.
Steel imports to Vietnam decline by 12% in H1CY18-According to the data from Vietnam’s Ministry of Industry and Trade (MIIT), the country’s steel import volume is around 7 MnT in Jan-Jun’18,down by 12% against corresponding time frame of previous year.
In CY17, Vietnam imported about 15 MnT of iron and steel.Out of which China being the major importer has imported 7 MnT to Vietnam.
Imported HRC offers to Vietnam – Week 29
1.HRC (SAE 1006) 2-3mm / Chinese offer – Benxi Iron & Steel mill at USD 605-608/MT,CFR Vietnam.
2.HRC (SAE 1006) 2-3mm / Chinese offer – Rizhao Steel at USD 600/MT CFR Vietnam.
3.HRC (SAE 1006) 2-3mm / Chinese offer – Magang Steel at USD 600/MT CFR Vietnam.
4.HRC (SAE 1006) 2-3 mm/Indian offer- Steel Mill at USD 605/MT CFR Vietnam.
5.Currently no active offers from Russian,Korean and Japanese mills to Vietnam.
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