SE Asia: Imported billet prices fall w-o-w amid sluggish market sentiments

Imported billet prices in Southeast Asia fell significantly this week due to lower offers in the region, coupled with a cautious outlook from buyers regarding the sustainability of recent price increases. The sharp drop in Chinese billet prices and rebar futures have weighed on billet offers.

BigMint's bi-weekly assessment reported that billets (150 x 150 mm, 3SP) imported by the Philippines were priced at $460/tonnes (t) CFR Manila, a drop of around $10/t CFR w-o-w. Notably, offers are ranging at around $455-460/t CFR.

Market highlights

• Vietnam's billet export offers remain stable w-o-w: Vietnam's blast furnace (BF)-grade billet export offers remained unchanged w-o-w at $465/t FOB.
  
  
• Thailand billet import offers were recorded at $460-470/t CFR, down by $5-10/t w-o-w.
  
  
• Chinese billet prices fall w-o-w: Billet prices in Tangshan dropped by RMB 200/t ($28/t) w-o-w to RMB 2,760/t ($390/t) (inclusive of 13% VAT) on 6 September. Increasing port inventories, fall in raw materials, finished steel prices and rebar futures have weighed on billet price throughout this week. SHFE rebar futures (January 2025 delivery) decreased by RMB 196/t ($28/t) w-o-w to RMB 3,026/t ($427/t) on 6 September.
  
  
• Indian billet export market awaits tender outcome: The Indian billet export market is waiting for the conclusion of a billet tender for price clarity. State-owned Vizag Steel (RINL) has floated an ocean sale export tender for 30,000 t of blooms (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 12 September and delivery is scheduled for 27 October. India's billet exports stood at 15,862 t in July 2024.