Prices for imported slabs in Asia have posted minimal changes over the past week as buyers have been waiting for further discounts from suppliers, but the recent rebound in the HRC segment in China has caused a reversal of sentiment.
Offers for import slabs in Southeast Asia are still at $930-950/mt CFR, while customers have been reluctant to purchase following the previous deals at $930/mt CFR Indonesia and $945/mt CFR S. Korea. “Bids are hardly above $900/mt CFR,” a source from the buying side said, adding that most large importers have no need to purchase right now.
However, on the other hand, China’s local and export HRC prices have started to rebound since late last week, which has improved the mood in the slab market too. “Now China is on the rise, so I think that some activity may be seen,” a slab selling source said.
Domestic HRC prices in China are at RMB 5,430-5,550/mt ($854-873/mt) ex-warehouse on June 1, with the average price RMB 90/mt ($14.2/mt) higher as compared to May 25. Export HRC prices from China have also improved, with the tradable level for ex-China SS400 HRC at $900-915/mt FOB now, from $890/mt FOB or even below in some cases late last week.
The SteelOrbis reference price for import slabs in Asia has remained at $930/mt CFR, stable compared to last week.