This week, a substantial rise in HRC import prices has been observed from Chinese suppliers following the announcement of stimulus measures and higher HRC futures prices in China, with most HRC suppliers also raising their import offers. As a result of the rapid price rises, though demand remains slow in the GCC market, according to sources some local buyers in need of stocks have decided to purchase certain quantities from Japan.
Based on sources, a Japanese supplier sold around 8,000-10,000 mt of HRC to the GCC at $520/mt CFR for December shipment, whereas previous ex-Japan deals were at $495/mt CFR to the UAE last week. However, this latest deal has not yet been verified by the time of publication.
Meanwhile, Chinese suppliers, now on holiday until next week, raised their HRC offers to $560-565/mt CFR for November shipment, up from $490-510/mt CFR before. However, most Emirati purchasers are unsure whether these levels will be maintained and are waiting for Chinese suppliers to return from the holiday to see their prices.
On the other hand, Indian and South Korean suppliers are still not offering HRC to the GCC, but, given the substantial jump in import offers, the suppliers could start giving offers in the coming days depending on the market circumstances.
