The global steel billets market continues to remain sluggish amid the absence of tender conclusions. Trade activities were limited as issued tenders were few due to subdued market sentiments. Meanwhile, falling Chinese billet prices and rebar futures have also contributed in weighing down billet sentiments in the global market. Meanwhile, market participants have remained inactive and no billet tenders were heard floated in the region.
Market highlights:
- SE Asia billet import prices drop w-o-w: Southeast Asia’s imported billet prices declined this week amid weak market sentiments. Absence of export tenders and weaker market sentiments in the global longs market weighed on bids for billets. According to BigMint’s bi-weekly assessment, billet (150x150mm, 3SP) imported by the Philippines was assessed at $490/tonne (t) CFR Manila, down by $4/t w-o-w. Notably previous billet (150x150mm, 5SP) offers were at $495-500/t CFR Manila and bids were at around $490/t CFR Manila.
- Vietnam’s billet export offers drop w-o-w: Vietnam’s BF-grade billet export offers inched down by $2/t w-o-w to $470/t FOB. However, lack of billet deals was witnessed this week.
- Last week, a few deals of Indonesian-origin billets were concluded at $485/t FOB, sources said.
- Iranian billet market lacks offers: Iran’s billet export market witnessed lack of active billet offers owing to power shortages. However, a source informed that Chadormalu is active in the market, which is yet to be confirmed. As per the last assessment on 23 July, billet offers were at $478/t FOB. According to BigMint’s bi-weekly assessment, Iranian billet export prices are at $478/t FOB.
- Indian billet export market awaits tender conclusion: The Indian billet export market is waiting for billet tender conclusions for price clarity. Additionally, state-owned Vizag Steel (RINL) has floated an ocean sale export tender for 20,000 t of prime rolled steel billets (90×90 mm, C20MMn Gr.A) on FOB ST delivery basis. The last date for bid submission is 26 July, 2024 and delivery is scheduled for 31 August. There was another export tender of RINL for 30,000 t of prime concast steel billets (150×150 mm, 3SP/4SP) on FOB ST delivery basis against 100% advance payment terms. The last date for bid submission is 23 July, 2024 and delivery is scheduled for 31 August.
- Chinese billet prices fall w-o-w: Billet prices in Tangshan fell by RMB 90/t ($12/t) w-o-w to RMB 3,180/t ($439/t) on 26 July. Volatility in raw materials, finished steel prices, and rebar futures throughout the week weighed on billet prices. Prices include 13% VAT. SHFE rebar futures (October, 2024 delivery) declined by RMB 108/t ($15/t) w-o-w to RMB 3,371/t ($465/t) on 26 July, 2024.
Leave a Reply