Global Billet Market Overview: Week 42, 2019
...
This week global billet market was reported with more intensified trade and eventful against last week. All major markets were reported trade active. The prime reason for increased trade events in the global billet market is the ongoing production cut sanctions in China which is driving the billet imports in the country.
Another reason for boosted trade sentiments is Turkish imported scrap prices which have again moved up this week. This was the second consecutive week in which Turkey's imported scrap prices have increased and has resulted in improving global billet sentiments.
India: Vizag Steel bloom export tender for size 150*150mm of quantity 40,000 MT (2 lots each of 20,000 MT) recently. As per sources, the tender has been concluded at around USD 370-372/MT, FoB India.
CIS - This week billet export assessment from CIS nations stands at USD 350-355/MT, FoB Black Sea, identical as last week. However, a deal of quantity 20,000 MT at USD 370/MT, CFR is been reported from the region towards the beginning of this week. Market sentiments are reported stable in the region.
Iran- After concluding deal in Gulf region, last week, the country's billet export market remained silent for this week. According to sources reported to SteelMint, majority of the mills in Iran are sold out and are not in hurry to conclude new deals. However, country's billet export offers are reported stable. SteelMint assessment for Iranian billet is at USD 345-350/MT, FoB Iran
SE Asia - This week, SE Asia billet market was reported eventful. Some deals to China were witnessed from the region. Russian billet offers in the region have also moved up marginally and are assessed at USD 395-400/MT, CFR Thailand, up USD 5-10/MT.
While that of to Philippines are assessed at USD 400/MT, CFR Manila. Market sentiments in the region are getting strengthened; clues can be witnessed with recent deals from Malaysia to China. According to sources reported to SteelMint, China has booked around 10,000 MT billets from Malaysia at USD 400/MT, CFR China. The shipment is scheduled for Nov'19.
Vietnam - Formosa Ha Tinh Corporation (FHS), Vietnam's largest steel manufacturer of the country has slashed its billet offers for shipments scheduled by Dec'19. The price offered for billet by the company is reported to be USD 400-405/MT, CIF North, down USD 20/MT against last month.
China- Chinese domestic billet market was settled at RMB 3,350/MT, down RMB 40 against last week. The market sentiments in the country are reported weak due to ongoing production cuts in the country.
As per SteelMint's methodology, an assessment of US-origin HMS 1&2 (80:20) scrap has now climbed up to USD 244/MT, CFR Turkey, increasing by USD 10-11/MT against the closing of last week, while the prices have risen by USD 5/MT since the opening of this week.
