SE Asia: Imported billet prices drop w-o-w amid absence of tender

Southeast Asia's imported billet prices declined this week amid weak market sentiment. Absence of export tender and weaker market sentiments in the global longs market weighed on bids for billets. Meanwhile, falling Chinese billet prices and rebar futures have also contributed in weighing the billet sentiment in the global market. Meanwhile, market participants have remained inactive and no billet tenders were heard floated in the region.

According to BigMint's bi-weekly assessment, billet (150x150mm, 3SP) imported by the Philippines was assessed at $490/t CFR Manila, down by $4/t w-o-w. Notably previous billet (150x150mm, 5SP) offers were at $495-500/tonne (t) CFR Manila and bids were at around $490/t CFR Manila.

Market highlights

• Vietnam's billet export offers drop w-o-w: Vietnam's BF-grade billet export offers inched down by $2/t w-o-w to $470/t FOB. However, lack of billet deal was witnessed this week.
  
  
• Last week, few deals of Indonesian origin billets were concluded at $485/t FOB, sources said.
  
  
• Iranian billet market lacks offers: Iran's billet export market witnessed lack of active billet offers owing to power shortages. However, a source informed that Chadormalu is active in market, which is yet to be confirmed. As per last assessment on 23 July, billet offers were at $478/t FOB. According to BigMint's bi-weekly assessment, Iranian billet export prices are at $478/t FOB.
  
  
• Indian billet export market awaits tender conclusion: Indian billet export market is waiting for billet tender conclusion for price clarity. Additionally, state-owned Vizag Steel (RINL) has floated an ocean sale export tender for 20,000 t of prime rolled steel billets (90x90 mm, C20MMn Gr.A) on FOB ST delivery basis. The last date for bid submission is 26 July, 2024 and delivery is scheduled for 31 August. Another export tender of RINL for 30,000 t of prime concast steel billets (150x150 mm, 3SP/4SP) on FOB ST delivery basis against 100% advance payment terms. The last date for bid submission is 23 July, 2024 and delivery is scheduled for 31 August.
  
  
• Chinese billet prices fall w-o-w: Billet prices in Tangshan fell by RMB 90/t ($12/t) w-o-w to RMB 3,180/t ($439/t) on 26 July. Volatility in raw materials, finished steel prices, and rebar futures throughout the week weighed on billet prices. Prices include 13% VAT. SHFE rebar futures (October, 2024 delivery) declined by RMB 108/t ($15/t) w-o-w to RMB 3,371/t ($465/t) on 26 July, 2024.