Ex-India hot dip galvanized (HDG) coil prices have remained stable over the past week, but no deals have been reported as sellers have paused offers of discounts, causing delays in closing ongoing sales negotiations in the Middle East.
Sources said that ex-India HDG official offer prices have remained unchanged at $680-700/mt FOB, but deals could not be closed as sellers were not acceding to discounts being sought by Middle East-based buyers. According to the sources, buyers in the Middle East have not been rushing to close deals without additional discounts.
Even though Indian sellers have been holding back discounts, it is expected that an acceptable discount and a workable price said to be anything around $650-660/mt FOB may be worked out over the course of the next few days, the sources said.
“We do not have any pending sales initiatives in Gulf, but we hear that some sales pitches are protracted. However, the mood among sellers is positive. Demand in the Middle East is expected to improve but the market will remain price-sensitive. Ex-India offers will need to be adjusted to confirms sales,” a source at ArcelorMittal Nippon Steel Limited told SteelOrbis.