Iranian billets exports market awaits tender results for price clarity
Iranian billets exports market turned bearish in the second half of this week, with market participants waiting for the outcome of the recently floated tenders for price ...
Iranian billets exports market turned bearish in the second half of this week, with market participants waiting for the outcome of the recently floated tenders for price clarity.
Khouzestan Steel Company (KSC) had floated steel billets and slab export tenders of 40,000 t each. The shipment is likely to be scheduled for Dec'21. Another Iranian steel mill, Chadormalu, had also floated a tender for 30,000 t of billets for exports. Both the tenders are under negotiation, as per sources.
"Iranian mills were expecting price levels for $595-600/t, FOB for recent billets export tenders floated. But the bids received are not in line with the company's expectations. Hence, none of the recent tenders have been concluded", a source from a leading Iranian steel mill said.
An Iranian steel mill had concluded an export deal for 60,000 t of steel billets to Africa, earlier this week, sources informed SteelMint. The mill achieved a price level of $602/t on FOB basis. The shipment is likely to be scheduled for Dec'21.
Outlook
Iranian billets and slab export prices may see some pressure on lower bids and fall in global HRC prices.
On the other side, there is news that Iranian government may ask steel mills to limit gas consumption amidst the winter season which may impact production volumes in the near term.
