SE Asia: Chinese rebar futures support imported billets prices

South East Asian imported billets prices remained supported this week. SteelMint's bi-weekly assessment of imported billets (150*150mm, 3SP) into the Philippines currently stands at around $635/tonne (t), CFR Manila, up by $6/t, w-o-w.

For 5SP billets, offers were heard at around $635-640/t, CFR Manila.

Hike in Chinese SHFE rebar futures has supported the prices. According to data maintained with SteelMint, the Chinese SHFE rebar futures contract for May'22 delivery closed at RMB 4,711/t ($743/t) on 21 Jan'22, a w-o-w rise of RMB 47/t ($7/t). However, the same witnessed a slight decrease of RMB 2/t ($0.32/t), d-o-d.

Market highlights

• Thailand's imported billets offers up: Indicative imported billets offers into the country are hovering in the range of around $640-650/t, FOB, up by around $20/t, w-o-w.
  
  
• Vietnam's billets export offers unchanged: Vietnam's BF-route billets export offers stood unchanged at $620/t, FOB with no deals concluded this week.
  
  
• Indian mills raise billets export offers: Indian mills have been eyeing higher prices in exports in the recent round of tenders following the sharp increase in domestic prices. A state-owned domestic steelmaker had floated an export tender for spot sale of 30,000 t of steel blooms (BF-route, 150x150mm, 3SP/4SP grade). The tender was floated against 100% advance payment terms. According to sources, the deal was concluded at $608-610/t on FOB basis. Indian billets export prices have risen by around $12/t compared to prices seen in the last concluded tender in mid-Jan.
  
  
• Iranian billets export prices supported on active deals: Iranian mills remained active in the semi-finished steel export market with a flurry of billet and slab export deals getting concluded this week. A leading Iranian steel mill floated a tender for 30,000 t each of billets and slabs. As per sources, the tender was concluded at $555/t and $560/t, respectively, on FOB basis. The shipment is scheduled for early-Mar'22. Another mill from Iran also concluded 30,000 t of billets (3SP, 150 mm) at $550/t FOB earlier this week for end-February shipment. SteelMint's assessment of Iran's billets export (3SP) prices stood at $555-560/t FOB on 21 Jan'22, up by around $5/t, w-o-w.