Seaborne Billet Market Picks Up on Absence of Chinese Cargo

Source: SteelMint Research

Activity in seaborne billet market picked up amid absence of Chinese billets. Few deals from CIS regions were reported at slightly higher prices. These deals were reported in the range of USD 390-395/MT FOB Black sea. These deals were made to North Africa and Egypt.

Chinese billet offers remain high this week due to higher domestic prices. Workable offers for Q235 150*150mm was assessed at around USD 405-410/MT FOB China main port. Not many deals were concluded at these prices.

Market participants believe that, demand has picked up because of pre-stocking done before Ramdan festival.

Trade Wise

1. Indian 10,000 MT billet (90*90mm) export tender received bids at USD 395-400/MT FOB India East Coast. Interestingly a Turkey based trading house had participated for the first time in Indian tender. Company is yet to conclude the tender.

2. Chinese export offers for 150*150mm assessed at USD 415-420/MT FOB China, however workable price assessed at USD 405-410/MT FOB China

3. CIS export offers assessed at USD 390-395/MT FOB Black sea. Exporters are eyeing USD 400-405/MT FOB levels but unlikely to receive buying interest

4. Indonesia based buyers receiving offers from China at USD 420-425/MT CFR, from Middle East at around USD 410-415/MT CFR and from Russia at around USD 415/MT CFR. Although, buying interest were seen at USD400-410/MT CFR levels.

5. Philippines based buyers were receiving offers from Russia at around USD 410-415/MT CFR and USD 415-420/MT CFR from India. Last deal from China was closed at USD 405-410/MT CFR levels.

Global Billet Offers as on 27 May'17

Source: SteelMint Research