Vietnam: Bearish Sentiments Continue to keep Imported HRC Offers Under Pressure

This week imported HRC offers to Vietnam continued to remain under pressure amid weak demand, lower sales volumes and higher inventory level.

-- However, in a recent conversation with Vietnam based market sources, SteelMint learned that imported HRC offers from South Korea declined by around USD 35/MT and hovering at USD 420/MT CFR Vietnam in contrast with USD 455/MT CFR basis last week.

-- Meanwhile, there was also a market chatter about the Japanese mills reducing their offers, Although the same could not be confirmed till the time of publishing the article.

-- Last week India based major supplier also lowered its offer with the motive to explore export options as domestic trades have come to a standstill amid lockdown.

Current imported HRC offers to Vietnam

-- HRC (SAE 1006, 2mm), China- Benxi Steel is offering at USD 420/MT CFR basis.

-- HRC (SAE 1006, 2mm), China- Chunghung Steel is offering at USD 420/MT CFR basis.

-- Last week an Indian mill booked around 40,000 MT HRC for exports to Vietnam at around USD 405/MT CFR basis at the end of the previous week.

-- HRC (SAE1006, small coils), Ukraine- Metinvest Steel is offering HRC at USD 425-430/MT CFR basis

-- Formosa Ha Tinh is offering HRC (SAE 1006, skin pass) at around USD 480/MT CFR basis slashed by USD 40/MT for May shipments. Sources also shared that, the company may cut production in the near term, although it's still under discussion.