Ex-India hot rolled coil (HRC) prices have been maintained unchanged, with sellers continuing to hold back offers to Asia, and the Gulf region, though some optimistic hopes continue to be held, mainly on the back of improved sales realizations in the domestic market.
Sources said that ex-India HRC prices are in the range of $590-620/mt FOB, slightly higher from $585-620/mt FOB last week, but Indian sellers have held back offers to the Asian region, resisting overall pressures on the price line from cheaper ex-China offers.
Meanwhile, talk about several deals for ex-India HRC in Europe at around $685-690/mt CFR, or around $630-635/mt FOB, have been circulating in the market this week, though this information has not been confirmed by the time of publication. “In southern Europe, nobody should buy at above $675/mt CFR, so these deals could be only possible in northern Europe, but this is also quite doubtful,” a European trader told SteelOrbis.
“Despite the greater activity of ex-China sellers and although workable prices remain under pressure, Indian mills are better placed, riding on resurging domestic demand. They will only sell overseas if the price is right,” an official at a private mill said.
“Hence, offers are continuing to remain on hold. Some deals in Europe have been heard at higher levels. But the parcels are too small and it could be just emergency top-up buying not fully reflecting market conditions. We will have greater clarity on Europe once full business activity resumes after the holidays and mills in the region announce their new prices,” he said.