A cargo of 33,000 mt of Russian HBI (hot briquetted iron) has been put on sale following an investigation for illegal shipment to Italy, on which SteelOrbis had reported in January this year. This cargo “seized in connection with criminal proceedings concerning the alleged breach of restrictive measures imposed by the European Union against the Russian Federation, is now at the centre of a significant judicial sale operation,” the Judicial Sales Institute of Lecce and Brindisi started in its official note.
As reported previously, the cargo arrived in Italy in November 2025 and was suspected in relation to “serious inconsistencies, falsifications and alterations to onboard documentation relating to the locations of stops and loading operations." The quota for Russian HBI in the EU was 651,906 mt in 2025 and, starting from January 1, 2026, a full ban has been implemented on Russian HBI imports.
The potential buyers of this HBI can be both Italian and international market players, including mills and traders. The cargo is currently located within a customs-controlled area of the Costa Morena Est port and “has not been released for free circulation within the European Union” yet, the Judicial Sales Institute of Lecce and Brindisi confirmed. But again, it was pointed out that international traders will be able to take part in negotiations.
According to an official press release, the preliminary sale price has been set at €6.8 million. This translates to €207/mt or $232/mt and is considered by most sources polled by SteelOrbis as a pretty attractive price, considering the current lack of supply in the global HBI market and the rather high market prices. “Even with all transportation and storage expenses, it is a very cheap price. But, of course, we first need to know all details for customs clearance and, what is important, CBAM costs for Russian HBI, which no one has even calculated,” a market source commented.
Market sources polled by SteelOrbis said that some European customers may be interested in this material, considering Russian HBI is of good quality and this rather low price may be based on the value of the material itself and can be explained by a need to push the cargo and since it has already been in the port area for a long period.
Also, the HBI market has been rather tight over the past months. The latest ex-Libya HBI tender (90,000 mt) was closed at $380/mt FOB in mid-October, so for European buyers this material has been priced at $405-410/mt CFR. In addition, information has circulated in the market that one ex-Venezuela cargo has been traded at $370-375/mt CFR, but this could not be finally confirmed by the time of publication.
As for Russian HBI, after the full ban in Europe and increased transportation issues with major Black Sea ports closed, only rare offers have been heard to Turkey or Mediterranean at $370/mt CFR at the lowest, but mostly not below $380-385/mt CFR. Considering the increasing freight rates from the Baltic Sea which have already reached $75-80/mt, CFR-based prices may be even higher now.
