Ex-China flat steel import offers to India have increased across product categories during the past week, but inward shipment volumes have continued to be sustained alongside strong trading activity seen for ex-South Korea flat product imports at a premium, traders said on Wednesday.
“The market is showing divergent trading trends. While domestic flat product stock movements have continue to remain sluggish, end-users, local steel mills and traders are continuing to conclude high-volume import contracts,” a Mumbai-based trader said.
“However, in the case of end-users in consumer durables and the automobile sector, it is evident that they prefer higher quality ex-Japan and ex-South Korea flat products at premium offers and are lowering their bookings of Indian products,” the trader added.
Ex-China HRC offers to India
Ex-China hot rolled coil offers have increased $20/mt at $570/mt CFR Mumbai, according to market sources.
The sources said that large domestic steel mills are reported to have contracted an aggregate volume of 20,000 mt of ex-South Korea HRC during the past week at a premium of 15-20 percent on landed price basis compared to ex-China material.
According to reports received in the market, traders have concluded deals for an estimated aggregate volume of 25,000 mt of ex-China HRC during the past week, with part of the volumes aimed for re-export to neighboring markets like Nepal, the sources added.
Ex-China CRC offers to India
Ex-China cold rolled coil (CRC) prices have risen by $15/mt week on week to $580/mt CFR Mumbai, according to market sources.
End-users have concluded contracts for an estimated volume of 25,000 mt of ex-South Korea CRC for early June delivery with market reports suggesting that these deals were concluded at an average premium of around 20 percent on landed price basis compared to ex-China materials, the sources added.
Traders have also been active in this product segment, contracting an estimated volume of 15,000 mt of CRC during the past week, the sources said.
Ex-China plate offers to India
Ex-China plate offers have increased by $10/mt week on week to around $610/mt CFR Mumbai, according to market sources.
While traders have not reported any significant trades during the past week, a few western India-based pressure vessel and marine equipment manufacturers have reportedly concluded transactions for an estimated volume of 10,000 mt during the past week.