Ex-China flat steel import offers have remained stable during the past week, with most of the trading activity accounted for by actual users while commercial traders have remained on the sidelines, traders said on Wednesday, April 3.
“Most commercial traders having exhausted their working capital limits with banks at the end of the fiscal year have remained out of the market. Modest import volumes of ex-China material have mostly been contracted by actual users in the automobile and consumer durable manufacturing sectors,” a Mumbai-based trader said.
“Interestingly, some revival in interest has been seen for import contracts for ex-Japan and ex-South Korea steel plates, largely triggered by an uptick in demand from pressure vessel manufacturers in southern India,” the trader added.
Ex-China HRC offers to India
Ex-China offers for hot rolled coil (HRC) have remained stable week on week at $588/mt CFR Mumbai, according to market sources.
However, no significant transaction has been reported during the past week by either actual users or commercial traders, the sources added.
Ex-China CRC offers to India
Ex-China offers for cold rolled coil (CRC) have remained unchanged during the past week at $600/mt CFR Mumbai, market sources said.
According to the sources, the entire volume contracted estimated in the range of 5,000-6,000 mt was concluded by southern India-based automobile manufacturers and one consumer durable maker.
Commercial traders have been largely absent from the market except for one or two traders who have reportedly concluded marginal import volumes largely to meet re-export commitments to neighboring markets, the sources added.
Ex-China plate offers to India
Ex-China offers for steel plates have moved sideways over the past seven days at $645/mt CFR Mumbai, according to market sources.
But, according to the sources, while no contracts have been concluded for ex-China material, there has been a revival of imports of ex-Japan and ex-South Korea steel plates by southern India-based pressure vessel manufacturers.
The sources said that these contracts were reported to have been concluded at a premium in the range of 15-20 percent above ex-China offers, on CFR landed price basis.