Indian export offers for hot dip galvanized (HDG) coils have held firm during the past week at around $870/mt CFR US, amid higher shipment volumes on the back of the firming up of flat steel prices in the US market, traders said on Thursday, November 20.
According to a Mumbai-based trader, US steel mills have pushed for a price hike of around $20/mt across flat products, prompting increased enquiries in the Indian market.
The trader said that reports received in India indicated that stocks at US steel distributors are on the low side and this, coupled with reports of an increase in imports during October and hikes implemented by US steel mills, has prompted Indian exporters to direct higher volumes to the US market.
On the other hand, market sources said that sentiments in the Gulf Cooperation Council (GCC) markets have continued to be negative during the past week, with import activity indicating a sharp slowdown.
No significant export transaction to the GCC has been reported in the Indian market even though local traders have continued to offer discounts of around $15-20/mt at $690/mt CFR Gulf but with no takers.