Following deepening corrections in domestic HRC prices in India this week and lower trading volumes during the ongoing festival week, market insiders have reported higher volumes of imports of HRC in the country, particularly from China, which, according to sources, limit the upside potential of local prices. However, this week several deals for ex-China HRC bought at discounted levels have been reported for material from mills without Bureau of Indian Standards (BIS) certification.
Specifically, following numerous deals signed for at least 80,000 mt of ex-China HRC at $582-585/mt CFR in previous weeks, this week a new deal for around 10,000 mt has been reported at $580/mt CFR. At the same time, more deals for ex-China HRC have been voiced at much lower levels, at $555/mt CFR in particular, given that they have been signed with a Chinese mill without BIS certification.
At the same time, offers from other suppliers, for SAE1006 HRC, including those from South Korea, Japan and Vietnam, have been reported at around $610/mt CFR. No fresh deals have been reported so far, while market insiders claim that Vietnam’s producer Formosa Ha Tinh’s BIS certification will expire on December 4, 2023.
This week, local trade HRC prices in India have slipped by INR 900/mt ($11/mt) to INR 57,500/mt ($691/mt) ex-Mumba and are down INR 500/mt ($6/mt) to INR 58,300/mt ($701/mt) ex-Chennai in the south, as SteelOrbis reported earlier.
