SE Asia: Imported billet market displays mixed sentiment

Southeast Asia's billet import market witnessed mixed sentiments with offers rising w-o-w; however, bids are still at similar levels. Billet import offers were at $515/tonnes (t) CFR Manila, up $5/t w-o-w. However, buying interest was heard at $510/t CFR. Concerned about the longevity of price growth, market players are preferring to wait and watch.

Meanwhile, Turkiye's imported scrap prices remained largely stable this week. According to SteelMint's latest assessment, HMS 1&2 (80:20) prices from the US stood at $356/t CFR, up w-o-w.

Chinese billet prices inched up by RMB 80/t ($11/t) to RMB 3,480/t ($475/t) on 27 October against 20 October. The increase in rebar futures and marginal rise in finished steel prices supported billet prices.

Market highlights

• Thailand's imported billet offers head south: Imported billet offers from the ASEAN into Thailand were recorded at $510-515/t CFR.
  
  
• Iranian billet export market softens: Iran's billet export market remained subdued this week and mills are likely to conclude ongoing tenders at lower price levels, SteelMint notes. Offers have weakened due to soft demand and exporters are preferring to wait for response from buyers. Afra Iron and Steel company has floated an export tender for 30,000 t of billets but is not confident about the price. Earlier this week, an Iranian steel mill concluded an export tender for 30,000 t of billets, sources informed. The deal was heard concluded at $475/t FOB and the shipment is scheduled for December to Southeast Asia. However, the current bid price is around $470/t FOB.