Indian hot dip galvanized coil (HDG) export offers have moved up by $10/mt during the past week to around $850/mt CFR US, while exporters have withdrawn discounts amid surging transaction volumes, traders said on Thursday, April 30.
According to a Mumbai-based trader, Indian exporters have been successful in pushing higher volumes on the back of increased buying interest following the fall in US steel imports in March and the drawdown of stocks at US distributors.
Local US steel prices are on an upward curve with a few steel mills announcing price hikes for domestically-produced HDG, triggering renewed interest in imports from India, the trader added.
Sources said that the stabilization of the Indian rupee at low levels against the US dollar provides an advantage for Indian HDG exporters.
However, some market players have cautioned against excessively high expectations, warning that some US steel mills are considering filing trade cases against import flat steel products in the coming week, which would negatively impact Indian shipments.
Meanwhile, in the Gulf Co-operation Council (GCC) market, Indian HDG exporters have lowered their offers by around $10/mt and significant transaction volumes have been reported at around $600/mt CFR Gulf, sources said.