Indian HRC import activity comes to halt amid rising risks of delivery disruptions

Friday, 27 March 2020 14:38:33 (GMT+3)   |   Kolkata

India’s import flat steel trading activity has ground to a halt with cases of previous deals being cancelled as importers are pulling out of the market to avoid deliveries getting stuck at sea or at ports, SteelOrbis has informed.

According to traders, despite the sharp fall in ex-China offers for hot rolled coil (HRC), neither end-users nor re-rollers have been interested in concluding deals as the risks are too high of shipments getting stuck and importers having to incur losses after the Indian government declared a national lockdown.

Ex-China HRC prices have been quoted in the range of $475-480/mt CFR Mumbai compared to levels of $490-495/mt in the previous week.

No price offers have been received for ex-South Korea or ex-Japan HRC during the past week, with sources pointing out that neither suppliers nor buyers have any clue how delivery commitments can be maintained in view of the rising risks facing shipping and port operations.

“Private steel mills are cutting production or closing down operations altogether. This can cause risk to domestic supply. But even imports are no more an option for end-users as no one is sure of delivery commitments,” a steel producers in India said.

Most Recent Related Articles

Ex-India HRC deal prices to Asia start to exceed $1,000/mt FOB, Q1 allocation rises

Indian mills start hiking local CRC base prices, after global rises

Ex-India HRC prices up closer to $1,000/mt FOB, even without sales to EU

Ex-India HRC prices rise further amid revived buying in Asia, Middle East

Local Indian HRC prices retreat, but not sharply as output to be hit by ban on industrial use of oxygen