Prices for imported hot rolled coils (HRC) have increased further in Vietnam with the most recent deals already heard at $405-410/mt CFR for Chinese origin coils. Most suppliers have raised their offers to above $400/mt CFR.
A contract with a major Chinese mill has been done in Vietnam at $408/mt CFR Vietnam this week, while sources estimate the volume at 10,000-15,000 mt. Some other Chinese exporters have been in negotiations at $405-410/mt CFR, but trades have involved only limited tonnages, local Vietnamese sources said.
The latest deals for Indian origin HRC have been done by two major suppliers at $395-400/mt CFR and $403-405/mt CFR for June shipment. The total tonnage was at least 30,000 mt. Today, most offers from India are already at $400-410/mt CFR Vietnam.
However, “the sales situation in downstream industries in Vietnam as well as in Asia are not really good,” a trader said. There is demand for only small volumes of imported HRC at the moment.
South Korean and Japanese suppliers have maintained their prices for HRC at $420-430/mt CFR Vietnam so far.
There have been no offers of ex-CIS HRC in Vietnam this week after a number of sizable deals earlier.
In the near future, the local HRC supplier Formosa Ha Tinh will announce new prices for June delivery. “They are still watching the market. Maybe they will follow the plan [of some foreign suppliers] to adjust production to maintain a high price level. We expect prices will be at about $430/mt CFR,” a Vietnam-based source said. For May, Formosa’s prices for SAE1006 grade skin-passed and not skin-passed HRC are at $480/mt CFR and $475/mt CFR respectively.
The SteelOrbis reference price for imported HRC in Vietnam has increased from $368-380/mt CFR last week to $395-410/mt CFR for now.
