Ex-CIS flat steel offers to increase

The CIS flat steel market continues to witness sluggishness and tepid demand. However, flat steel export offers from this region are expected to rise slightly in August.
 
In the Ukrainian domestic market, it is foreseen that hot and cold rolled coil (HRC and CRC) prices will not decline despite the low demand, and will follow a sideways trend during August, before a rise in demand and prices in late summer. In the local Ukrainian market, traders' HRC prices are at $750-760/mt ex-warehouse, while their CRC prices are at $800/mt ex-warehouse. These prices do not include 20 percent VAT.
 
As SteelOrbis previously reported, last month Ukrainian offers to Turkey for August production HRC were standing at $710/mt CFR. In bookings of September production material in August, prices are anticipated to show slight increases.
 
Russian mills' new export offers, which will be issued in the coming weeks, are also foreseen to increase. In July, Russian steel producers' HRC offers to Turkey were at $730-740/mt CFR.
 
Since orders placed in August will be delivered after Ramadan and the summer holiday, buyers who have not purchased significant volumes during the summer due to the quietness of the markets are expected to show interest in products with September and October arrival dates. Thus, Ukrainian and Russian offers to Turkey are anticipated to increase in line with demand.