HRC trade in Pakistan has remained slow this week, with prices showing a downward trend, as Chinese suppliers, especially non-VAT traders, have decreased their prices due to the recent drop in HRC futures prices in China. Meanwhile, other suppliers have been mainly refraining from giving new offers to Pakistan, with only offers for ex-Japan HRC heard at relatively stable levels as compared to last week.
More specifically, offers for ex-China SS400 HRC have settled at $540/mt CFR for May shipment, while offers for Q195 HRC have fallen to $530/mt CFR, down by $5/mt since the end of last, and compared to $555/mt CFR and $550/mt CFR, respectively, two weeks ago. This decline has been mainly connected to the recent decline in HRC futures prices in China. In particular, as of March 26, HRC futures at Shanghai Futures Exchange are standing at RMB 3,735/mt ($526/mt), decreasing by RMB 53/mt ($7.5/mt) or 1.4 percent since March 19, while down 2.17 percent compared to the previous trading day, March 25, according to SteelOrbis data.
At the same time, offers for ex-China SAE1006 HRC have been rare in Pakistan and at a much higher level as compared to offers for pipe makers, standing at around $585/mt CFR, the same as two weeks ago.
Meanwhile, other HRC suppliers, including those from Taiwan and South Korea, have been staying out of the Pakistani market, while offers for ex-Japan SAE1006 HRC have been estimated at $605/mt CFR for May shipment, down by $15/mt as compared to offers two weeks ago, but the same as last week, with no deals reported so far.
