Imported HRC Offers to Bangladesh Move Up as Chinese Mills Raise Prices

In recent conversation with market sources based in Bangladesh, SteelMint analyzed that imported HRC offers to Bangladesh from China registered increase by USD 20-25/MT in line with hike in export offers from China this week.

Currently imported HRC (2mm) offers to Bangladesh are hovering around USD 540-550/MT CFR Chittagong for July end-August shipments. However no major deals have been reported.

A couple of weeks back, HRC offers to Bangladesh was around USD 520-525/MT CFR basis post Eid holidays.

Amid uptrend in Chinese steel prices over announcement of recent production cuts in Tangshan region, domestic and export offers from China have noticed upward momentum.

Market sources based in Bangladesh shared that,"Buyers have became cautious over sudden surge in imported offers of HRC from China. However they have adopted wait and watch mode and will observe the steel prices from China"

Japanese steel mill concludes 10,000 MT of HRC with Bangladesh- Major Japanese based steel mill concluded 10,000 MT HRC with Bangladesh for July end august shipments.

As per an update, a major steel mill based in Japan booked around 10,000 MT of HRC with steel importer based in Bangladesh at around USD 535-540/MT CFR Chittagong for July end august shipments.

Thus imported HRC offers to Bangladesh are cheaper from Japan as compared to China.

Bangladesh bulk vessel HRC import data in Jun'19- As per provisional data maintained with SteelMint, Bangladesh bulk vessel imports in June'19 summed-up to 1,09,420 MT up significantly against 69,372 MT in May'19.

Majorly HRC imports to Bangladesh observed in June'19 is from Japan,Taiwan and Vietnam.