Indian Steel Mills Hold HRC Export Offers; Expect Hike

SteelMint in conversation with market participants learned that Indian steel mills are not quoting HRC export offers as they are awaiting for a clear picture on Chinese offers. However as per indications received,Indian mills are planning to increase HRC export offers by USD 10-15/MT for March shipments.

Chinese steel market opened today after week-long Lunar New year holidays and have reported surge in domestic steel prices. Nation's HRC prices in Tangshan region has increased by RMB 10 with 3.0mm coils now offered at RMB 3,710, 5.5mm flattened at RMB 3,690 and Q345 flattened at RMB 3,850 (ex-warehouse including tax with some transactions).

As per updates received to SteelMint, Indian steel mills are indicating HRC export offers for Vietnam in range of USD 525-530/MT CFR basis for March shipments.Last offers from Indian mills were reported at USD 515/MT, CNF Vietnam.

Meanwhile Indian steelmakers have already raised flat steel prices in domestic market in anticipation of surge in global HRC prices from China post festive holidays.

Indian HRC exports in Jan-Nov'18- As per the data maintained with SteelMint,Indian flat steel exports stood at 4.91 MnT in first eleven months of Jan-Nov'18.Out of which HRC/plate stood at 2.82 MnT in Jan-Nov'18.

Major importing nations of HRC from India were Italy at 0.48 MnT,Vietnam at 0.44 MnT,UAE at 0.40 MnT followed by Nepal at 0.37 MnT and Spain at 0.24 MnT in Jan-Nov'18.