As US domestic flat-rolled spot prices continue to firm, there has been a renewed interest in competitive offers from offshore.
The number of inquiries into offshore flat rolled product has risen this week, as some import offers are now considerably below current US spot prices. Russian offers of hot rolled coil (HRC) are in the $40.00-$42.00 cwt. ($882-$926/mt or $800-$840/nt) duty-paid FOB loaded truck range although sporadic bookings have been placed for up to $2.00-$3.00 cwt. ($44-$66/mt or $40-$60/nt) lower. Other HRC offers have come from Korean mills at $41.00-$43.00 cwt. ($904-$948/mt or $820-$860/nt) duty-paid FOB loaded truck in US Gulf ports, which have been able to garner significant interest on the US West Coast.
Over the past week there have also been rumblings of Turkish HRC offers looming, but traders have indicated to SteelOrbis that the rumored offers are too high, with lead time too far out to generate much interest. The most attractive offers to US buyers continue to come from south of the border. Mexican offers of HRC are now $40.00-$42.00 cwt. ($882-$926/mt or $800-$840/nt) FOB loaded truck delivered into Houston ports, a $1.00 cwt. ($22/mt or $20/nt) decrease on the low end over last week as an increasing number of orders are being placed at $40.00 cwt. Mexican cold rolled coil (CRC) offers have also surfaced this week-the first official offer since mid-December of last year. Current sales prices in the $46.00-$47.00 cwt. ($1,014-$1,036/mt or $920-$940/nt) FOB loaded truck delivered into Houston ports range are $2.00-$3.00 cwt. below US domestic prices and currently the most appealing CRC offer available for buyers for delivery into the US Gulf coast.
While some import offer prices have fallen this week, US domestic flat rolled steel spot prices are firming with another mill price increase announcement still expected by the end of March, as CRC delivery dates begin moving into May. Cold rolled coil spot prices are still ranging from $48.00-$50.00 cwt. ($1,058-$1,102/mt or $960-$1,000/nt) ex-Midwest mill although offers at the lower end have been increasingly difficult to come by.
HRC lead times are in early-to-mid-April; however, spot purchasing activity for HRC has been strong from buyers scrambling to fill inventory holes caused by the late deliveries from a number of integrated mills due to problems (varying from blast furnace issues to software difficulties) in the production line. This has pushed hot rolled coil spot prices into the $43.00-$45.00 cwt. ($948-$992/mt or $860-$900/nt) ex-Midwest mill range-a $1.00 cwt. increase on the low end.
| Cwt. | Metric Ton (mt) | Net ton (nt) | Change from last week | |
| US domestic | ||||
| HRC | $43.00-$45.00 | $948-$992 | $860-$900 | ↑ $1.00 cwt. on low end |
| CRC | $48.00-$50.00 | $1,058-$1,102 | $960-$1,000 | neutral |
| Mexican* | ||||
| HRC | $40.00-$42.00 | $882-$926 | $800-$840 | ↓$1.00 cwt. on low end |
| Korean** | ||||
| HRC | $41.00-$43.00 | $904-$948 | $820-$860 | ↑ $1.00 cwt. on high end |
| Russian** | ||||
| HRC | $40.00-$42.00 | $882-$926 | $800-$840 | newly offered |
| Chinese** | ||||
| CRC | $45.00-$47.00 | $992-$1,036 | $900- $940 | neutral |
| Mexican* | ||||
| CRC | $46.00-$47.00 | $1,014-$1,036 | $920-$940 | newly offered |
**Duty-paid FOB loaded truck in US Gulf ports