SE Asia's billet import market passive ahead of holidays

South East Asia's imported billet market continued to remain silent on low buying interest and sluggish finished steel demand in the region ahead of the New Year holidays.

SteelMint's bi-weekly assessment of billet (150x150mm, 3SP) imported by the Philippines currently stands at around $566/tonne (t) CFR Manila, stable, w-o-w.

Market highlights

• Vietnam's billet export offers up w-o-w: Vietnam's BF-grade billet export offers increased by around $10/t as against last week followed by a hike in the country's scrap prices. Current offers are at around $560/t FOB. However, no active deals have been reported so far for current offers.
  
  
• Iranian billet export prices unchanged in recent deal: Iran's billet export market remained largely quiet this week. Meanwhile, An Iranian mill concluded an export deal for 30,000 t of steel billets for GCC at around $480/t FOB, sources informed SteelMint. However, the majority of mills are quoting export offers of around $485-490/t, FoB Iran citing a sharp hike in domestic prices. Prices have remained supported amid a hike in scrap offers, SteelMint observed. However, a reduction in gas supplies during harsh winter in the region may result in a decline in production levels as steel mills are mandated to reduce consumption by 30%, which is likely to put steel mills under pressure and affect billet export allocations.