Global Billet Market Overview: Week 52, 2019

This week, global billet market has slowed down in terms of trades amid New Year Holidays with few major suppliers remaining out of market. Except India, no significant deals were witnessed from any of the major billet market. However, offers from/in all the major markets have remained supported. This week, marketers tried to push buyers for purchase by raising the prices marginally and have tried giving the impression of price hike post holidays. But this stunt didn't work in the favor of marketers and left the market on the slower side. Meanwhile, Turkey's imported scrap prices have managed to keep global billet market sentiments strong. The imported scrap offers to Turkey have inched up by USD 3-5/MT in Baltic deal reported. It is highly anticipated by the buyers & steel producers that prices may increase further in the coming days on tight supply of material.

India- Steel Authority of India - a government of India company had invited a billet export tender for size 105*105mm and 16,000 MT quantity. According to SteelMint sources, the company has concluded the tender at around USD 425/MT, FoB. The cargo will be shipped from Vizag port and the shipment is scheduled by 7 Feb'20.

Iran- Tight availability amid bookings of previous allocations made and rising global billet prices resulted in hike in offers from Iran. SteelMint assessment for Iranian billet is standing at USD 405-410/MT, FoB Iran, up USD 10/MT against last week. Also, Billet export offers from Iran to Thailand were reported around USD 425-430/MT, CFR basis.

CIS - This week, billet export offers from CIS nations, reported stable and are standing at USD 410/MT, FoB Black Sea, identical as last week.

SE Asia - This week, SE Asia's billet import market was reported trade silent for the consecutive week amid New Year Holidays. However, the event could not put any ramifications on the billet import offers in the region which were kept supported by Turkey's imported scrap prices. SteelMint assessment for billet import offers in SE Asia is at USD 445-450/MT, CFR, identical as last week.

Vietnam- This week, country has resumed billet export offerings amid dull domestic demand. Current export offers for 5 sp grade from the country are USD 425/MT, FoB.

China- Chinese domestic billet market was settled at RMB 3,300/MT, down RMB 40/MT against last week. The market sentiments in the country were reported weak

SteelMint's assessment for US-origin HMS (80:20) scrap stands at around USD 305/MT, CFR Turkey, up by USD 3-4/MT W-o-W.