Russian steel producers are still focused on domestic flats sales amid decent demand, tough competition abroad and trouble in selling due to sanctions. In addition, supply is currently limited due to some maintenance works.
Over the past month, the local Russian hot rolled coil prices have increased by RUB 1,000/mt to RUB 66,500/mt CPT which is around $610/mt CPT according to the current $1 = RUB 90.82. As for exports, the latest sales prices from Russia to North Africa stand at $590/mt CFR, which is around $550/mt FOB Baltic Sea or $560/mt FOB Black Sea equivalent. The domestic hot rolled sheet prices in Russia have stabilized for now at RUB 68,000/mt or $625/mt CPT.
In the cold rolled segment, the local sheet prices are now at RUB 88,100/mt CPT, up by RUB 5,880/mt over two months. The US dollar price has settled at close to $810/mt CPT. “The demand for CR is constant, but supply is down since December. First, MMK went for long-term maintenance at its pickling unit, and in April NLMK is also going to have repairs at its pickling line,” a source told SteelOrbis. The export prices for CRC remain indicative at $800-820/mt FOB, which is not workable in the key markets, particularly Turkey.