Go to List

Indian HRC export trade prices remain range-bound, global prices turn supportive

Indian mills have kept HRC export offers range-bound to the European Union (EU) to around $700-705/t CFR Antwerp. Moreover, domestic prices in EU have remained stable ami...

Finish Flat
By
575 Reads
12 Dec 2023, 21:22 IST
Indian HRC export trade prices remain range-bound, global prices turn supportive

Indian mills have kept HRC export offers range-bound to the European Union (EU) to around $700-705/t CFR Antwerp. Moreover, domestic prices in EU have remained stable amid limited trade activities. Indian mills have continued to keep HRC export offers on hold for Southeast Asia and the Middle East (ME) market as realisations are lower and Chinese prices are competitive.

Market updates

1.Indian HRC offers to EU stable w-o-w: Indian HRC export (S275, 3mm) offers to Europe have remained stable w-o-w to $700-705/t CFR Antwerp. An Indian steel major has booked small parcels of around 8,000 tonnes at $695/t CFR Antwerp. Moreover, domestic prices in Europe are on the higher side. Local mills were selling February-delivery HRC for EUR 700-720/t delivered (EUR 685-705/t ex-works), and they were not budging much on price. Buyers are now looking at cheaper imports available in the region, but holiday worries are holding back large order sizes.

2. Chinese offers for Middle East stable w-o-w: Chinese HRC (SAE1006) export offers to the ME remained stable w-o-w to $600-610/t CFR UAE. "Currently, demand is strong and projects are progressing well. market participants are optimistic about a potential cut in US interest rates in early 2024," informed a ME-based source. Indian mills have halted HRC export offers to ME due to lower realisations. Moreover, no offers were heard from other origins like Japan, Taiwan or South Korea.

3. Baosteel raises HRC prices for Jan'24 deliveries: The world's top steelmaker Baosteel has increased HRC and thick plates prices for January 2024 sales by RMB 200/t ($28/t) m-o-m, sources informed SteelMint. The company raised its prices in response to the recent surge in Chinese domestic steel prices and SHFE HRC futures. In addition, the political bureau meeting held on 8 December, 2023 emphasised on expanding domestic demand.

Outlook

Market participants are waiting for Formosa Ha Tinh (FHS) price announcement. Indian mills are only offering to EU as realisations are better and producers in EU are seeking higher prices for February 2024 deliveries in the domestic market. However, the upcoming New Year holidays may limit export activities in the global market.

12 Dec 2023, 21:22 IST

 

 

You have 1 complimentary insights remaining! Stay informed with BigMint
;