Trading activity has been high in Asia’s slab export market over the past two weeks with deals confirmed to Asia, including Indonesia, Europe, the US and Turkey. Numerous deals and the expected lengthy absence of Iran from the market has led to a shortage of Asian slabs and a sharp rise in prices on FOB basis.
At the moment, prices for both HRC grade and plate grade slabs from Asia are almost the same at $500-520/mt FOB, though lately plate grades (especially for Europe) were at least $15/mt more expensive. “Minimum slab offers are at $500/mt FOB now. For HRC [grade] slabs it seems a crazy price level but there is definitely a tightness now and people are concerned,” a source said.
The major Indonesian mill has been offering slabs for July shipment at $510/mt FOB on March 16, up by $5/mt from Friday and up by as much as $35/mt over the past fortnight. The producer managed to sell big HRC volumes locally, and sizable slab volumes to Turkey and the US, as well as to the local market as well. In 2025, up to 70 percent of Iranian slabs were going to Indonesia, so the recent disruptions of shipments and sales from Iran has impacted the Indonesian market a lot.
Deal prices for Indonesian slabs to Turkey and the US have been heard at $490-495/mt FOB, but some sources believe that so far not only Indonesian slab, but any ASEAN or even alternative sources, would be at $500/mt FOB and above. “Asia is filling a gap in the US market left by the Brazilians,” one of the sources said, adding that, even though Brazil is still the major slab suppliers to the US, some increase in shipments from the Brazilian ArcelorMittal plant to Europe and the better Brazilian market itself have created space for Asian slab trade.
As for Europe, slab prices have posted a rather limited rise (by $5/mt on average) after a $20-30/mt jump in the first week of March, and prices are standing at $560-580/mt CFR for plate grade slabs of Chinese origin, while ex-South Korea and ex-Vietnam materials are quoted in a similar range. Earlier in March, contracts for all these origins were done near the lower end of this range. Also, the high CFR-based prices in Europe have been supported by the sharp rise in freight rates, which are assessed as being not below $60/mt from Asia to large European ports, while pre-war rates were at $40-45/mt.