Weekly: Global HRC & CRC Market Overview

1. Chinese HRC export offers rebound on a weekly premise- Chinese HRC exports moved up by USD 5-15/MT W-o-W to USD 475-485/MT FoB China as compared with USD 460-480/MT a week earlier.

–The gradual resumption of the industrialists and the rebounding domestic HRC prices are being attributed as reasons behind the rebound in the export offers.

–Domestic HRC prices also witnessed an uptrend by RMB 10/MT on a D-o-D basis at RMB 3,560-3,570/MT (eastern China).

2. Imported HRC offers to Vietnam from China rise– HRC offers to Vietnam from China increased against last week. Current imported HRC offers to Vietnam-

–HRC (SAE 1006) 2mm, China- Benxi continues to hover at USD 478/MT CFR basis similar to yesterday’s offer. Previous week offer- USD 470/MT CFR basis.

–HRC (SAE 1006) 2mm, China- Baosteel offer is at USD 478/MT CFR basis remains unchanged over yesterday’s offer. Previous week offer- USD 470/MT CFR basis.

–HRC (SAE 1006) 2mm, China- Chunghung Steel’s offer is at USD 485/MT CFR basis. Previous week offer- USD 490/MT CFR basis.

–HRC (SS400), China- offer stands at USD 475/MT CFR basis consistent against the previous day’s offer.

–HRC (SAE 1006) 2mm, Japan- Nippon Steel is offering at USD 495/MT CFR basis, stable over the previous day’s offer.

–HRC (SAE 1006) 2mm, South Korea- Hyundai Steel is offering at USD 495/MT CFR basis, consistent with the previous day’s offer.

–Vietnamese domestic integrated steel manufacturer Formosa Ha Tinh kept its HRC (skin pass, SAE1006) prices unchanged at USD 520/MT for Apr’20 deliveries.

–Indicative offers from Indian steel mills is around USD 495-510/MT CFR basis.

3. UAE books HRC from India-

–Major Indian steelmaker booked around 20,000 MT HRC to UAE in levels of USD 505-510/MT CFR basis for March-end-April delivery, SteelMint confirmed from trades sources based in UAE and India.

–Also, offers from Chinese mills for HRC (SAE1006) are at USD 485-490/MT CFR basis.

4. CIS export offers marginally down on weak sentiments-

–The CIS origin HRC export offers further softened by USD 5/MT on a weekly premise. This decline came in response to a lull in the domestic demand. Also, importers are anticipating further fall in prices due to bearish sentiments in the domestic market.

–The nation’s offers stand at USD 465-475/MT FoB Black Sea in comparison with USD 460-480/MT FoB basis a week ago.

–The Russian steel giant Magnitogorsk Iron & Steel Works (MMK) is to undergo a shutdown to reconstruct its hot-rolled products Mill-2500, early in March’20 for 110 days. This can lead to short supply and push HRC offers in the near term.

Source: SteelMint Research