During the given week, ex-China rebar offer prices have moved on an upward trend, supported by futures prices and the local market, and better expectations for demand in the fourth quarter. In the import rebar market in Southeast Asia, tradable prices are stable so far due to poor demand, but a rebound is expected soon.
Ex-China rebar offer prices from small mills and traders have been heard at $510-530/mt FOB, December delivery, moving up by $15/mt on average compared to October 20. During the week, China announced that it will issue additional special bonds worth RMB 1 trillion for 2023 in the October-December period this year, bolstering market sentiments, while at the same time rebar futures prices have increased, both exerting a positive impact on rebar prices in the spot market. “Production restrictions have been implemented due to environmental protection in Hebei Province, which will likely reduce supply to the market and push up rebar prices in the near future,” an international trader said.
The reference import prices of rebar in Singapore are stable at $530-540/mt CFR, theoretical weight.
Offer prices of ex-Malaysia rebar have been heard at $540/mt DAP Singapore, theoretical weight, while offer prices of ex-Middle East rebar have been heard at $545/mt CFR Singapore, theoretical weight.
Average rebar spot prices in China have gained RMB 47/mt ($6.5/mt) compared to October 20, standing at RMB 3,800/mt ($529/mt) ex-warehouse, according to SteelOrbis’ information.
As of October 27, rebar futures at the Shanghai Future Exchange are standing at RMB 3,724/mt ($519/mt), increasing by RMB 114/mt ($16/mt) or 3.2 percent since October 20.
$1 = RMB 7.1793