Hot rolled coil offers from Russia to overseas buyers have indicated another decrease this week as suppliers have been seeking to attract customers, though with not much luck. There are some ongoing negotiations with customers from Turkey and Asia. Moreover, the ex-CIS prices are expected to dip further amid a lack of demand and the highly possible increase of allocation as some volumes may be redirected from Russia’s local market to exports amid the fall in consumption and the weaker currency.
On the Black Sea side, the prices have decreased by around $10-15/mt since early this week to $365-385/mt FOB. In particular, Russia’s MMK has become rather aggressive with offers for big coils at the lower end of the range or at $380/mt CFR Turkey, with no takers yet. In addition, the mill is active in the Asian market at $380-390/mt CFR in offers, SteelOrbis has learned. Another ex-Russia seller, NLMK, is in the market with $380-385/mt FOB levels, with ongoing negotiations in Turkey at $395-400/mt CFR levels.
In the Baltic region, ex-Russia HRC prices have decreased to different extents depending on the sales destinations. In Europe, the offers to the northern part of the region have dropped by $5-10/mt to $420/mt FOB, with offers to southern Europe declining by $15-30/mt since early this week to $370-385/mt FOB. The supplier is also evaluating chances to sell to Asia, having set its price at $350/mt FOB, with the freight estimated at around $40/mt, SteelOrbis has learned. All prices are given for May production.