Taiwan's Feng Hsin raise rebar, scarp prices
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Feng Hsin Steel, Taiwan's largest rebar producer headquartered in Taichung in central Taiwan, has decided to raise its rebar list prices and procurement prices of local scrap for transactions over January 22-26 given the increased global scrap prices and better performance in local rebar sales, a company official confirmed on Tuesday.
With the latest price adjustment, the mini-mill is offering its 13mm dia rebar at TWD 20,000/tonne ($639/t) EXW, higher by TWD 300/t from the previous week, and its procurement price of local HMS 1&2 80:20 scrap reaches TWD 11,400/t, up by TWD 200/t on week, according to the official.
Prices of global steel scrap delivered to Taiwan have increased recently, driving up the production costs of local mini-mills and prompting them to lift their rebar list prices accordingly, Mysteel Global learned.
As of January 22, the price of US-sourced HMS 1&2 80:20 scrap came in at $380/t CFR Taiwan, gaining by $5/t on week, and the price of Japan-origin H2 scrap also increased by $5/t during the same period to reach $385/t CFR Taiwan, a local market source said.
Rebar sales in Taiwan performed well last week amid the local steel market's traditional peak season when pleasant weather conditions prevail. Meanwhile, many local contractors usually accelerate their pace of construction works before the Chinese New Year holiday, which starts in February this year, hoping to complete their projects ahead of the holiday break.
However, finished steel prices in mainland China softened somewhat over the past week with downstream demand slowing further. Some domestic end-users already halted operations to enjoy a longer break, Mysteel Global noted.
As of January 22, the national price of HRB400E 20mm dia rebar, a bellwether of Chinese domestic steel-market sentiment, was assessed by Mysteel at Yuan 4,026/tonne ($561/t) including the 13% VAT, dipping by Yuan 4/t from one week before.
Note: This article has been written in accordance with an article exchange agreement between Mysteel Global and BigMint.
