SE Asia: Billet import offers continue to climb

SE Asian billet import prices continue to saw a rise for this week as well. The import offers have seen hovering between $510-520/t CFR levels, up by $15-20/t against last week. Sizeable bookings reported in the Philippines from Russia.

The tight scrap availability, leading to soaring global scrap prices, is intensely pulling the global billet prices.

Turkish imported scrap prices continue to pose an upward trend in the recent deals concluded and are hovering at over 2.5 year high levels. The first week of Dec '20 witnessed negotiations for the imported scrap at higher levels. However, limited trades reported so far this week. On the other hand, suppliers are targeting further increases for Feb '21 shipments.

We assessed USA origin HMS 1&2 (80:20) at $363/t CFR Turkey, up by $10-15/t w-o-w. Prices have increased by a total of $65-70 since the beginning of Nov '20.

Deals & offers-

CIS- Sizeable volumes are booked for the Philippines this week at a price level of $510-515/t, CFR levels for Feb '21 shipments. The offers from the region noted having witnessed a sharp rise for the second consecutive week. SteelMint assessment currently stands at $490-500/t, FoB Black Sea, up by $20-25 against last week.

India- Indian billet export prices have soared in recent deals, going up by $35-40/t week-on-week (w-o-w) in a recent export tender hosted by a state-owned steel mill. In a recent spot sale, bloom export tender floated for 30,000 t quantity, 4SP grade, and 10 Jan '21 shipments, the company managed to achieve a price level of $485-490/t, FoB India. SteelMint's bi-weekly assessment on Friday for Indian billets (150*150mm, BF route, FoB east coast) is at $485-490/t.

Iran- Iranian billet export offers registered a steep rise this week on rising global scrap prices. A market source mentioned that Iranian mills are offering at $510/t, CFR levels for Indonesian destinations. SteelMint assessed Iranian billet export offers at $460-470/t, FoB up by $25-30 against last week.

Vietnam- The BF billet export offers from the country are seen stable at $510/t, FoB Vietnam levels, up by $15-20/t against last week.

Thailand- Billet import offers in the country seen hovering at $510-515/t, CFR, up by $25-30/t w-o-w. The billet imports in Thailand, during Oct '20, recorded at 0.27 mn t, up by 27% m-o-m. Oman, Russia, India, Japan, and Iran stood as the prominent exporters.

This week, SteelMint assessment for billet import in SE Asia is at $500-510/t CFR, up by $25-30 against last week.