On September 18, SteelOrbis reported the following ex-China offers on flat steel products to Chile: HRC at $610-620/mt CFR, CRC at $640-650/mt CFR, and HDG at $725-735/mt CFR.
Since then, the long-running uptrend for Chinese flat steel product prices changed course on soft Chinese domestic demand and lower global scrap prices.
According to a source in the region, offers for Chinese flat steel products to Chile are “slightly softer compared to the previous range in some instances, but daily changes with tight contract constraints make numbers difficult for the moment.”
Due to the ongoing volatility over the past week and expectations of deeper price reductions, “most buyers are hesitant to consider any offers close to the previous numbers.” Additionally, buyers in Chile are expected to delay any decisions with expectations of a clearer outlook after the first week of October. The Chinese market is expected to remain quiet through the seven-day National Golden week holiday that begins on Sunday October 1.