Global HRC & CRC Market Overview- Week 49, 2019

Chinese HRC export offers up marginally over increase in domestic prices- This week,Chinese HRC export offers moved up further following increase in domestic prices. Chinese HRC export offers stand at USD 465-470/MT FoB China,which was USD 460-470/MT FoB basis a week earlier.

However, in the domestic market, the HRC prices increased by RMB 10-20/MT D-o-D basis to RMB 3,720-3,730/MT in the Shanghai region, and RMB 3,640/MT in the Tangshan region owing to short supply.

Amid a slowdown in steel logistics due to the shortage of trucks and stringent transportation rules in turn increase steel prices in the domestic market. This resulted to increase in the nation's HRC export offers.

Imported HRC offers to Vietnam inch up W-o-W- This week imported HRC offers to Vietnam inched up further from major exporting nations.

Current HRC offers to Vietnam-
1.HRC (SAE 1006) 2mm, Japan- Nippon steel offering at USD 485-490/MT CFR basis. The last offer was hovering at USD 480/MT CFR basis.

2.HRC (SAE 1006) 2mm, India - Indian steel mills offering at USD 470-475/MT CFR basis. Last offers stood at USD 465-470/MT CFR basis.

3..HRC (SS 400) 2mm, China- Chinese steel mills offering at USD 470/MT CFR basis. Last week, offer was around USD 460/MT CFR basis.

Indian HRC export offers move up further over better domestic demand- Indian HRC export offers to Vietnam inched up further by USD 5-10/MT following uptrend in domestic steel prices.

Also, lower inventory pressure and increased export bookings to Vietnam pushed Indian steel mills to raise HRC export offers for Jan shipments.

Thus, the Indian-origin HRC export offer stands at USD 470-475/MT CFR Ho Chi Minh, which was USD 465-470/MT CFR Ho Chi Minh last week.

CIS HRC export offers witness continual rise- CIS origin HRC export offers ascended by USD 10/MT this week.

Hence, current HRC export offers stand at USD 405-415/MT FoB Black Sea in contrast with USD 395-405/MT FoB basis in the preceding week.

Source- SteelMint Research