Vietnam's Formosa Ha Tinh hikes HRC list price significantly following global uptrend

Formosa Ha Tinh (FHS), Vietnam's largest steelmaker, has announced a steep hike in its HRC prices tracking bullish import prices.

Formosa, which has a crude steelmaking capacity of 7 mtpa, lifted list prices for Oct delivery HRC by $40-45/t, SteelMint learnt from credible sources.

Current offers:

• HRC (SAE 1006, skin pass) offered at a $505/t CIF basis. Last offer was at a $465/t CIF basis.
  
  
• HRC (non-skin pass) offers are at $500/t CIF basis against the last offer at $ 460/t CIF basis.
  
  

Downstream demand for HRC in Vietnam remained sluggish in the current rainy season, shared by trade sources in Vietnam

Hike in imported HRC offers from China & India-

• Imported HRC offers to Vietnam from China were at $500-515/t CFR basis, up by $30-35/t m-o-m in Aug '20.
  
  
• HRC offers from India increased sharply by $60-65/t m-o-m at $520-525/t this month. Recovery in domestic demand has reduced offers from Indian mills.
  
  

Hike in raw material prices -

• Imported Japanese scrap prices to Vietnam have increased by $30-40/t in the last one month following global trends and supply tightness.
  
  
• The closely-tracked 62pc iron ore fines index is hovering at 1-year high levels on strong Chinese buying, tight availability and bullish sentiment in the Chinese futures market.