Following their long-standing resistance, Pakistani re-rollers have finally accepted higher prices for hot rolled coil (HRC) in new bookings.
Accordingly, needing to replenish their stocks ahead of the religious holidays, Pakistani re-rollers have preferred to watch developments closely in the import HRC market, while, taking into account the uncertainty as regards the future price trend, most of them have been reluctant to accept the target prices of suppliers. After one Pakistani flats mill succeeded in signing a deal for 20,000-25,000 of ex-Japan SAE1004 HRC at $1,050/mt CFR Karachi with a $50/mt discount compared to the initial offers, another Pakistan-based HRC customer suspended its negotiations, being reluctant to purchase at a price higher than the abovementioned level. However, by the end of the current week, SteelOrbis has learned of a fresh booking of ex-Japan HRC at $1,070/mt CFR, for September shipment.
Subsequently, aiming to offset higher input costs, Pakistani producers of cold rolled (CR) and hot dip galvanized (HDG) coils have issued new offer prices, increasing them by PKR 5,000/mt ($31.5/mt).