Weekly round-up: Global billet market stays subdued, trading muted

Global billet market remained silent this week in the absence of firm buying interest, weak finished steel sentiments, limited trading activity and cheaper Russian billet offers.

Market highlights-

• Indian billet export market inactive: Indian BF-grade billet export prices remained stable but no deals were concluded recently amid weak buying interest and sluggish global demand. The bid-offer disparity continued to keep buyers at bay. As per market sources, Indian mills were still looking for price levels of around $620-640/t FOB. However, bids were heard below $600/t FOB. Indian billet export market is expected to remain sluggish in the days to come.
• Iranian billet export market silent on power curbs: Iran’s billet export market remained less active this week amidst the news of power cuts at a few mills. No firm deals for exports were recorded this week. The latest assessment of Iran’s billet export (130*130mm, 3SP) prices stood at $560/t FOB on 10 June 2022, down by around $4/t w-o-w. Notably, prices hit a six-month low, data maintained with SteelMint shows.
• SE Asian billet import prices range-bound: South East Asia’s imported billet prices remained range-bound this week amid lack of trade. SteelMint’s bi-weekly assessment of billets (150x150mm, 3SP) imported by the Philippines stood at around $645/tonne (t) CFR Manila. However, a parcel of Japanese EAF-grade billets (130x130mm) was concluded at around $650/t CFR Manila towards the end of last week, market sources informed SteelMint.
• Vietnam’s billet export offers stable: Vietnam’s BF billet export offers stood at around $625/t FOB, stable, w-o-w.
• Thailand’s imported billet prices fall: Indicative imported billet prices into the country hovered at around $620-625/t CFR, lower by $20/t w-o-w. Weak demand due to the onset of the monsoon pulled prices down.
• China’s billet prices edge up towards weekend: Steel billet prices in China’s Tangshan witnessed a rise of RMB 20/t ($3/t) w-o-w. Prices stood at RMB 4,520/t ($674/t), inclusive of 13% VAT, on 10 June. According to data maintained with SteelMint, the SHFE rebar futures contract for October 2022 delivery closed at RMB 4,793/t ($714/t) on 10 June, witnessing a marginal increase of RMB 5/t ($1/t) d-o-d.