Algeria’s HRC producer has been enjoying quite sufficient domestic demand over the past week, with imports coming mainly from China, while the prices for this origin have been quite high lately. Some local price increases are expected to be seen early in the summer in Algeria, based on decent demand for both HRC and slab exports and quite high achievable prices.
Algeria’s domestic HRC prices are stable for now at DZD 101,500/mt ($643/mt) ex-works, considering 19 percent VAT and the exchange rate at $1 = DZD 132.56. However, while demand locally remains at acceptable levels, and the workable HRC and slab export prices from Algeria, particularly to the EU market, are quite high, the sole producer in the country is expected to increase its domestic prices sometime around June, SteelOrbis understands.
According to sources, the Algerian mill has attempted to increase its HRC export price, specifically for the European market, from $700/mt to $715-720/mt FOB for cargoes to be shipped in June. Some sources on the buyers’ side have reported a trade at as high as $730/mt FOB, but the information has not been confirmed by the time of publication.
Algeria’s import HRC segment is usually represented mainly by China, with its offers for thin specifications reported at around $620/mt CFR, versus $630/mt CFR last week. The base prices for Chinese HRC, on the contrary, have been set at $590/mt and up to $600/mt CFR, versus $580-590/mt CFR previously, sources report. The material is mainly for June-July shipments.
