Asian slab suppliers have been holding prices stable or increasing them gradually compared to late January, as they have positive expectations for market developments after the Chinese New Year holiday and since most lower-priced allocations are gone for now in most major outlets.
In Europe, most plate grade slab exporters (China and Vietnam) are holding prices stable at $530-550/mt CFR, after increasing them by $10-30/mt in January. But offers for HRC grade slabs, mainly coming from Indonesia and Saudi Arabia, are at $520/mt CFR at the moment, adding $10/mt compared to the indication last week. Though demand for HRC grade slabs in Europe has been rather quiet recently, the success of sellers in some other destinations resulted in a bullish mood.
In particular, a deal for ex-ASEAN slabs has been heard at slightly above $490/mt CFR with some sources claiming it to be ex-Malaysia material, which is duty-free in Turkey. Even though the price may be assessed as being on the higher side, the material can be shipped together with billets and duty-free origins are still preferred.
At the same time, a non-sanctioned Russian mill has attempted to increase its slab offers to Turkey by $10/mt compared to mid-January to $470/mt CFR.
An Indonesian mill has been offering slabs officially at $470/mt FOB, which is up by $10/mt over the past week. “Iranian slabs to Indonesia and Thailand are less on offer at the moment due to political unrest and shipments are uncertain from Iran. This gives a chance to Dexin to hike their slab prices in the ASEAN market,” an Asian trader said.