Chinese steel giant
Baosteel Group has announced that it has finally reached agreement with South Korea-based
Hyundai Heavy Industries (HHI) on a Q2
shipbuilding plate contract price.
The final price of the
shipbuilding plate contract for the second quarter of 2011 between the companies was settled at $860/mt FOB, rising slightly from Q1. Market insiders think that this price will have an influence on South Korea-Japan negotiations regarding the Q2
shipbuilding plate contract price.
Before the recent earthquake in Japan, the Japanese mills' quotation for
shipbuilding plate for the second quarter was $1,050/mt FOB for the South Korean market. At present, South Korean producers including
POSCO and
Hyundai Steel are reportedly considering hiking their
shipbuilding plate price in the domestic market to $1,024/mt.