The Algerian HRC supplier has returned to the market after recent holiday with the expected price increase for domestic customers, while the mill’s export price targets have remained relatively stable and quite high, especially for Europe. Import activity has been modest, according to sources, partially due to certain ongoing payment issues related to the war in the Middle East.
Following the holiday period, the Algerian HRC producer has announced an increase in domestic prices as planned earlier. The supplier’s current offer is at DZD 108,000/mt ($681/mt) ex-works for June and July deliveries, up from DZD 101,500/mt ($640/mt) ex-works. “It looks like the mill is aiming to line up domestic price levels with what is achievable for exports of HRC and slab, but the market here is very different,” a trader told SteelOrbis.
The supplier’s HRC export offers traditionally vary depending on the destination. Buyers from African countries have reported levels at around $640-650/mt FOB for July shipments. In Europe, however, the reported offer levels have been ranging mainly at $715-725/mt FOB and up to $730-735/mt FOB in some negotiations. The latest delivered prices for Algerian HRC in the EU have been at €720-730/mt DDP and €645-650/mt CFR, SteelOrbis has heard.
In the import segment, offers for thin gauge HRC from China have been reported at $620/mt CFR while base material stands at $590-600/mt CFR for end-of-July and August shipments. The price level is generally in line with the pre-holiday levels and the demand for import material, according to sources, is quite modest amid certain levels of stock already in the market.
All prices on Algerian dinar basis include 19 percent VAT.
$1 = DZD 133.31
