Prices in the import HRC market in Vietnam have posted another increase this week. Apart from Chinese suppliers, who have been increasing their offers for a few weeks, other Asian suppliers have been bullish in their new offers in Vietnam, though Vietnamese buyers have not been in hurry to sign new deals given the sufficient level of stocks and more attractive local prices.
More specifically, the prices available for ex-China SAE1006 HRC have been voiced at $650-660/mt CFR, compared to 635/mt CFR at the beginning of the week and are up by $25-30/mt week on week. Meanwhile, new offers for ex-China SS400 and Q125 HRC have settled at around $630/mt CFR, up by 10-15/mt since the beginning of the week and versus $600-610/mt CFR last week. This increase is mainly connected to better sentiment in China supported by the rise in local quotes. In particular, on Thursday, January 12, domestic HRC prices in China have increased by RMB 75/mt ($11/mt) week on week and are up by RMB 15 ($2/mt) since Monday to RMB 4,155/mt ($616/mt) ex-warehouse.
“Deals have been rare this week. As we know from December to January, Vietnam booked around 200,000 mt of ex-China Q195, SS400, and SAE1006 HRC, which means most buyers have enough stocks for now,” a Chinese trader told SteelOrbis.
Meanwhile, other suppliers have decided to go higher as well this week. Offers for ex-India SAE1006 HRC have been voiced at $650-670/mt CFR, versus $630/mt CFR last week. Besides, offers from South Korea and Taiwan have settled at $650/mt CFR, up by $20/mt week on week. No new offers have been reported for ex-Japan materials, as “Japanese sellers are still estimating their strategy for the next round,” according to sources.
As a result, the reference prices for import SAE1006 HRC in Vietnam, based on the most competitive offers, has come to $650/mt CFR in January 12, up by $25-30/mt week on week.
