Vietnam: Imported HRC offers from China remain stable w-o-w

Imported HRC offers to Vietnam from China remained stable w-o-w. The market in Vietnam remained quiet as China was on holiday due to the Dragon Boat Festival (22-24 June). Market activities resumed today.

Imported HRC offers:

• Chinese HRC (SAE1006) offers were heard at $585/t CFR, stable w-o-w. Offers for HRC (SS400) were heard at around $550-560/t CFR.
  
  
  
• Indian mills are still not offering in the market as prices are currently not workable.
  
  
  
• Meanwhile, no offers were heard from Japan, Taiwan, South Korea and Russia this week.
  
  

A Vietnamese buyer is reported to have concluded an import deal for 40,000 t of HRC (SAE1006) from China last week. The deal was concluded at a price of $580/t CFR, as Chinese mills are not willing to sell below this price. Vietnamese mills have sold out their allocations for August deliveries which, in turn, is leading to high demand for imported HRC.

Market activities have resumed after the Chinese festival but participants are still in wait-and-watch mode.

Outlook
Market participants are awaiting Hoa Phat's price announcement for August deliveries. Moreover, SHFE HRC futures (October contract) fell sharply by RMB 128/t ($18/t) w-o-w to RMB 3745/t ($518/t) today against RMB 3873/t ($535/t) a week ago.