Import HRC prices in Pakistan have shown mixed trends over the past week, with a slight upturn for import coils from China amid news about the recovery of HRC futures prices in the country, while offers from other suppliers have remained unchanged or shown a slight downturn over the past two weeks.
More specifically, offers in Pakistan for ex-China Q195 HRC have been voiced at $510-512/mt CFR, against deal prices at $505-510/mt CFR for November-December shipment reported a few days ago and at $500/mt CFR last week. Besides, offers for ex-China SAE1006 HRC have been voiced at $520-530/mt CFR, against $520/mt CFR last week.
According to market insiders, the latest NDRC meeting has indicated positive developments in the running of the economy, while the real estate sector in Guangzhou is expected to perform better, and so HRC futures prices in China have increased by more than one percent and some buying activity has returned to the market. However, most Pakistani buyers are not in a hurry to sign new deals being “confused by the daily changes in China” and the lack of direction. “The market is still policy- and news-driven rather than driven by the supply-demand balance,” a market insider said.
The fluctuations of Chinese HRC market prices have been caused by the fluctuations in HRC futures at Shanghai Futures Exchange. As of November 19, HRC futures prices have settled at RMB 3,495/mt ($486/mt), decreasing by RMB 20/mt ($2.8/mt) since November 12, while up 1.19 percent compared to the previous trading day, November 18, according to SteelOrbis data.
In the meantime, the latest offers for ex-Japan and ex-Taiwan SAE1006 HRC have been voiced at $530-540/mt CFR for December and January shipments, against $540-545/mt CFR two weeks ago. Besides, offers from South Korea for SAE1006 HRC have been reported at $540-545/mt CFR, the same as two weeks ago.
