Pakistani CRC and HDG mills hike prices again amid costlier feedstock

Pakistani producers of cold rolled (CR) and hot dip galvanized (HDG) coils have continued to raise their offer prices, aiming to offset their input costs. With allocation from traditional suppliers tight, most offers of ex-China import SAE1006 hot rolled coil (HRC) to Pakistan reached $985/mt CFR and above, up by $5-10/mt week on week, while offers for ex-Japan and ex-Taiwan reached $1,090-1,100/mt CFR. In particular, a deal for 10,000 mt of ex-China SAE1006 HRC was reported at $975/mt CFR at the end of last week, while another batch of 10,000 mt changed hands at $985/mt CFR. In the meantime, several deals from Chinese traders have reportedly been sold in positions at around $900/mt CFR Pakistan, up by $10/mt over the past week.

Meanwhile, CRC and HDG prices in Pakistan have risen by PKR 5,000/mt ($27/mt) compared to the previous offers voiced on March 22. However, due to the continuous devaluation of the Pakistani rupee, the dollar-based quotations have increased by only around $6-7/mt. For now, buyers are resisting the new prices. However, “they do not have any other choice but to accept the increase, which is in line with the global trend,” a flats producer commented.

All prices on Pakistani rupee basis include 17 VAT.

$1= PKR 184.7