Vietnam's Formosa Raises HRC Offers by USD 35/MT for March

Vietnam's domestic integrated steel maker Formosa Ha Tinh has today announced a hike in its hot-rolled steel prices by USD 35/MT for Mar'20 deliveries.

According to the company officials report to SteelMint, the revised offer for HRC (SAE 1006, skin pass) assessed at USD 520/MT CIF Ho Chi Minh for Mar'20 deliveries, which was USD 485/MT CIF basis for Feb'20 deliveries.

Meanwhile, fresh offer for HRC (SAE 1006, non-skin pass) stands at USD 515/MT CIF basis for Mar'20 as against USD 480/MT CIF basis for Feb'20 deliveries.

Along with this, the company's revised offers for HRC (SS400 & Pipe-making grade) stands at USD 510/MT CIF basis for Mar'20 as compared with USD 475/MT CIF basis for Feb'20 deliveries.

Company raised its HRC prices due to ongoing maintenance shutdown in its hot strip mill for 20 days starting 30th Dec'19 until 17th Jan'20. The estimated impact of the shutdown on production comes around 35%, which resulted to hike in HRC offers for March deliveries.

Also, amid hike in imported HRC offers from India, Japan and Korea to Vietnam, Formosa has raised offers. Currently Indian and Japanese mills are offering HRC at USD 530-535/MT CFR Vietnam.

Prior this, last month, the company announced a hike of USD 15/MT in its hot-rolled product prices for Feb'20 deliveries.

Formosa raised wire rod offers by USD 8/MT -Company raised merchandise quality 2 wire rod offer by USD 8/MT and offering at USD 500/MT CIF basis for Mar'20 deliveries which was USD 492/MT CIF for Feb'20 deliveries.

Current HRC export offers to Vietnam-
1. HRC (SAE 1006) 2mm, Japan- Nippon steel offering at USD 530/MT CFR basis.

2. HRC (SAE 1006) 2mm, South Korea- Hyundai Steel's offers stand at USD 525-530/MT CFR basis.

3. HRC (SAE 1006) 2mm, China- Rizhao steel mill is offering at USD 520/MT CFR basis.

4.HRC (SAE 1006) 2mm, China- Indian steel mill is offering at USD 530-535/MT CFR basis.