Offer prices for Japanese hot rolled coil (HRC) in the export markets have changed over the past month, increasing by around $5-10/mt depending on the destination since late July. At the same time, trade activity for Japanese HRC has been limited due to tighter competition with other Asian suppliers, including those from Indonesia, Malaysia, and South Korea, coupled with the stronger pressure from Chinese suppliers who have decreased their prices in late August.
Prices for ex-Japan SAE1006 HRC for the Asian region have settled at $505-520/mt CFR in late August, versus $495-515/mt CFR in late July. In Vietnam, offers for ex-Japan SA1006 HRC have been voiced at $515-520/mt CFR, up by $10/mt month on month, while interest in Japanese coils has declined due to tight competition with other Asian suppliers, including those from Indonesia and Malaysia whose deal prices were at least $15/mt lower as compared to Japanese offers. Offers for ex-Japan HRC in Pakistan have been reported at $505-510/mt CFR, up by $10/mt on the lower end of the range over the past month and have been less competitive as compared to Chinese and South Korean prices. Offers from Japanese suppliers to Bangladesh have been heard at $510-515/mt CFR, against $495-500/mt CFR in late July.
In the meantime, Japanese HRC suppliers have been offering their SAE1006 HRC in the GCC region at around $510-520/mt CFR, versus $500-510/mt CFR in late July. According to sources, in mid-July, buyers from the UAE secured several big deals for ex-Japan HRC at $510-530/mt CFR, depending on the destination, while by the end of the month no deals have been voiced for ex-Japan coils due to tighter competition with Chinese suppliers in the region.
No offers for ex-Japan HRC have been reported in Europe, where trade activity has been close to zero during the month due to the traditional summer break.