CRC offers given by Taiwanese steel producer Besty Steel to Saudi Arabia for April shipments are as presented below. For actual purchases it is expected that the producer will apply an extra discount of 10 percent on these price levels.
Price |
|
0.4 mm x 1.219 mm - 2,000 mt |
$650/mt CFR Jeddah |
0.4 mm x 1.219 mm - 2,000 mt |
$645/mt CFR Dammam |
0.5 mm x 1.219 mm - 2,000 mt |
$650/mt CFR Jeddah |
0.5 mm x 1.219 mm - 2,000 mt |
$645/mt CFR Dammam |
0.7 mm x 1.219 mm - 2,000 mt |
$635/mt CFR Jeddah |
0.7 mm x 1.219 mm - 2,000 mt |
$630/mt CFR Dammam |
0.9 mm x 1.219 mm - 2,000 mt |
$620/mt CFR Jeddah |
0.9 mm x 1.219 mm - 2,000 mt |
$615/mt CFR Dammam |
Although the offers in question are standing average $25-30/mt below the levels of Sabic production cold rolled coils, no bookings have yet to be realized at the levels presented above. Demand has been trending slack in the Saudi Arabian local market. However, according to the World Steel Association report, it is estimated that crude steel production in Saudi Arabia has been realized at about 275,000 mt in January 2009. This level has indicated that the production capacity has decreased by 38.1 percent as of January 2008. Despite high inventory levels and high-priced materials in stocks, de-stocking period has just started and production cut-backs have continued to be carried out. Thus, it is strongly believed that no sharp price decreases will be observed in the flats market of Saudi Arabia in coming days.