Vietnam : HRC Import Offer Moves Up;Buying Interest Slows Down

HRC import offers to Vietnam have increased by USD 10-20/MT W-o-W. Current  offers of imported HRC 2-3mm SAE1006 are heard in the range of USD 575-585/MT CFR Vietnam.Last assessment was made in the levels of USD 565/MT CFR basis.

Vietnam’s Formosa is offering HRC at USD 570-575/MT, CFR  in domestic market, which is mostly at par with the imported offers prevailing there

Global flat steel prices have increased sharply this week. But import offers in Vietnam have observed less increase owing to slow buying activities amid approaching holidays and added production coming in from Vietnam’s Formosa.

Vietnam Formosa Ha Tinh has set the target to double the steel capacity by Mar’18. The plans involve the installation of two new blast furnaces, which will results to crude steelmaking capacity from the current 3.5 MnT to 7 MnT.

The plant has the capacity to produce 4,78,000 tonnes of billet, 6,00,000 tonnes of wire rod and 600,000 tonnes of bars in coil. It has also set the target to double the steel capacity by Mar’18

Russian origin HRC import offers moved up in Vietnam-Russian origin MMK steel is currently offering imported HRC at USD 580/MT CFR Vietnam.In previous weeks,MMK cargoes had been offered at USD 10-15/MT below China- and India-origin materials.

However,Russian HRC export offers moved up by USD 10-15/MT over positive demand and rising raw material cost.This in turn leads to higher import offer of HRC in Vietnam.

Japanese and Korean mills raised  HRC offers to Vietnam-Following the trend Japanese and Korean mills have raised their imported offers of HRC to Vietnam.Presently imported HRC offers to Vietnam from Japan and Korea are heard in the range of USD 620-630/MT CFR Vietnam..

Indian steel mills raised HRC export offers -Indian steel mills have raised the HRC export offers in line with rising global flat steel prices .Indian HRC export offers are heard in the range of USD 575-585/MT, FoB India.

Major mills in China have also raised the HRC export offers amid domestic gains.Latest HRC export offers from China are heard around USD 570-580/MT FoB China.