Following the weakening in Vietnam’s HRC import market seen last week, prices for import HRC have continued to plunge this week as all main foreign suppliers have been offering cargoes at much lower levels. However, Vietnamese buyers have not been in a hurry to sign new deals, counting on a further downward correction before resuming buying activity.
Accordingly, the prices available for ex-China position SAE1006 HRC have been as low as $565-570/mt CFR, compared to $575-585/mt CFR last week, while several bids have been invited already at $560/mt CFR. However, buyers have been cautious about signing new deals in such a rapidly falling market. Besides, cheap position cargoes from China for SS400 HRC have been reported to Vietnam at $535-540/mt CFR, down by $15-20/mt week on week, with a few deals for small tonnages signed at $535/mt CFR. “Most Vietnamese buyers prefer to postpone new deals as sentiments are still bearish and local HRC producer Hoa Phat Group has not come up with new offers so far, while Formosa announced new offers at $593/mt CFR last week,” a market insider said.
Meanwhile, Japanese suppliers who have been active in sales to Vietnam this month, are reported to have offered their materials at $570/mt CFR, compared to $580-590/mt CFR last week. Besides, according to market insiders, a deal for ex-Japan SAE1006 HRC has been signed at $565-570/mt CFR Vietnam this week, though this information has not been confirmed by the time of publication.
Offers for ex-Taiwan HRC have been heard at $570/mt CFR, down by $20/mt week on week. Besides, market insiders have reported that Russian suppliers, who are rarely heard in Vietnam, have been offering their HRC at $560/mt CFR Vietnam this week. Meanwhile, offers from India have remained limited in Vietnam this week, with the indicative price for boron-added HRC standing at $580-585/mt CFR, down by $5-10/mt week on week.
The SteelOrbis’ reference price for import SAE1006 HRC has moved to $560-570/mt CFR, down by $15-20/mt over the past week, given the bearish mood of most foreign suppliers coupled with lower and lower bids coming from Vietnamese buyers.