Indian integrated steel mills have hiked hot dip galvanized (HDG) export prices for the second consecutive week and have been successful in securing higher realizations on the back of the tightening of supplies and higher local prices in the European Union (EU) region, SteelOrbis has learned from trade and industry circles on Thursday, February 18.
The sources said that ex-India HDG workable price levels have been pushed up to $820-840/mt FOB, compared to $810-830/mt FOB a week ago.
“Indian exporters have been successful in correctly calling the trend and increasing prices for the second consecutive week against a backdrop where materials are in short supply in the local EU market, leading to an increase in activity,” an official at ArcelorMittal Nippon Steel said.
“There are still some uncertainties like how the market will react once full business activities resume after the recent Chinese holidays and the levels of offers, as also reports of decline in auto sales in the EU region,” he added.
Market sources said that a western India-based integrated steel mill with an exclusive portfolio of flat products reported a trade at $820-830/mt FOB. The same exporter also concluded a trade for a smaller tonnage to a non-European buyer at $820-825/mt FOB, the sources said.
Another Maharashtra-based standalone re-rolling mill reported a trade of around 20,000 mt with an EU-based importer at $830/mt FOB.
