Prices for ex-India HRC have declined since early this week as more signals of lower offers for non-European destinations have been seen. Tough competition with Chinese sellers, who have been aggressive lately as well as insufficient sales have been the main reasons for the latest moves.
The SteelOrbis reference price for ex-India SAE1006 2 mm HRC has been settled at $680-770/mt FOB with the midpoint at $725/mt FOB, versus $720-770/mt FOB last week. The higher end of the range has remained stable as offers to the European market and the latest deals were stable at $820-840/mt CFR.
At the same time, offers for ex-India coils to Turkey have been coming at $730/mt CFR, which translates to around $690-700/mt FOB. As reported earlier, Chinese SAE1006 grade offers were at $685-705/mt CFR to Turkey.
In the UAE, mills have been ready to deal at $735-740/mt CFR or $700-705/mt FOB, though official offers are still at $750/mt CFR, which, however, is considered to be nominal already, being too high.
“There are not enough sales. Mills were trying to push prices up, but with no results,” a trader said.
The lowest level for ex-India HRC has been at $680/mt FOB as the indicative price for Vietnam from India was at $700/mt CFR. “India was out of the Vietnamese market for a long time. If they need to sell, this is the minimum they need to offer,” a source said.
