SE Asia: Billet import market quiet despite renewed Chinese buying

South East Asia's imported billet market has remained quiet, although bids have increased tracking the hike in Chinese steel futures and active trades in China. SteelMint's bi-weekly assessment for billet export offers from South East Asia are currently at $695/tonne (t) CFR Manila, up $25-30/t against last week.

On the other hand, SE Asian mills in Vietnam and Indonesia have remained active in concluding export deals for China.

Market highlights

• Vietnam billet export offers rise on improved Chinese buying: Vietnamese mills remained active in the exports market this week. BF billet offers from the country increased by around $30-35/t on a weekly basis. According to SteelMint sources, BF billet offers are at around $660-665/t FOB Vietnam. A Vietnam-based mill concluded an export deal for 20,000 t BF billets to China at $660/t FOB (equivalent to $690/t CFR). Another deal from a Vietnamese mill was heard concluded at $665/t FOB (equivalent to $700/t CFR).
  
  
• Indonesian mill concludes billet export deal for China: As per the latest deals tracked by SteelMint, a leading Indonesian steel mill has concluded a billet export deal for 30,000 t to China at around $710-715/t CFR levels. The shipment is scheduled for Nov'21.
  
  
• Thailand's imported billet offers rise: Indicative imported billet offers into the country are hovering in the range of $720/t CFR, up around $65/t, w-o-w.
  
  
• Indian billet export offers remain supported: Indian mills have been fetching higher prices in recent billet export deals. An export tender for 30,000 of 150mm (4SP) steel billet issued by a state-owned mill was reportedly concluded at $620-625/t FOB India east coast, sources confirmed. The price climbed higher by $30/t from the last tender concluded early this week. Global prices are moving higher on renewed buying interest from China. Also, another Indian state-owned mill is reported to have concluded another package of 30,000 t of steel blooms (150x150mm, 3SP/4SP grade). The shipment is scheduled within 45 days from the export agreement. According to market sources, the deal was concluded at around $590-595/t FOB (on 100% advance payment basis).
  
  

• Iran's billet exports subdued amid power outages: Iran, a leading billet exporter, is still reeling under the pressure of electricity shortage which has kept steel production and exports subdued. Domestic sales are also down against last week. According to sources, no export deal has been concluded so far this week. However, a few export tenders are in the pipeline and results may be out next week.