The rising trend in the flat steel market and positive outlook have led to increase in demand for slabs in Asia with customers in China and Southeast Asia interested in buying. As a result, prices have increased further compared to last week.
The latest deal prices in the Asian market have been reported at $445-450/mt CFR to Taiwan, Southeast Asia and to China as well. About 50,000 mt of Russian slabs have been traded to China at $445/mt CFR. Also according to sources, a smaller lot from India has been sold at the same price level to a Chinese trader.
Traders have said that at least one contract has been concluded to Taiwan at $445/mt CFR. Also buyers from Southeast Asia have also been in the market with the latest deal done at $445-450/mt CFR, according to sources to Indonesia.
Apart from Russian and Indian exporters, Brazilian suppliers have been offering slabs to Asia at $445-450/mt CFR. According to trading sources, ex-Brazil slabs have been traded at $415-420/mt FOB to Turkey and North America, but sales to Asia have not been confirmed so far.
SteelOrbis reference price for slabs in Asia has increased by $5-10/mt over the week to $445-450/mt CFR.
The major support to slab prices have been coming from rising prices for flat steel products, HRC and plate in particular. Imported HRC prices in contracts to Vietnam have reached $500-505/mt CFR last week, up by $5/mt. Ex-China plate prices have been at $505-510/mt FOB.
