Ex-CIS steel slab prices have continued to climb, supported by the positive situation in the hot rolled coil market and the stronger scrap price levels fixed in the most recent deals. Turkey, being the largest slab importer in the Mediterranean region, has accepted slab prices $10/mt higher compared to the deal reported by SteelOrbis last week.
A Ukraine-based steel producer has recently sold 45,000 mt of steel slab to Turkey at $410/mt CFR for September shipment. Last week, the same supplier traded around 20,000 mt, again to Turkey, but at $400/mt CFR. “HRC prices are high in Turkey, scrap is on the rise too, so there is no way to run away from higher slab prices,” a local source said. Other suppliers are also in the market. Offers for UK origin slab are at $420/mt CFR minimum, but for October shipments, SteelOrbis has learned.
In Italy, the latest fixed deal price level is $410/mt CFR, while earlier this month bulk tonnages were traded at $400/mt CFR. Moreover, the CIS-based mills are expected to enter new negotiations at $415-420/mt CFR.
As a result, the deal price levels for steel slabs in the Mediterranean region have climbed to around $395/mt FOB. However, most market players assess the workable levels as being within $385-395/mt FOB for now.