Import prices for hot rolled coil (HRC) in Vietnam have remained largely stable this week amid subdued trading activity in China and the disappearance of low-priced, non-VAT offers from Chinese traders following the implementation of export licensing requirements. At the same time, other overseas suppliers of SAE1006 HRC have kept their offers unchanged. Meanwhile, caution has persisted among Vietnamese buyers, who largely refrained from active purchasing while evaluating whether the firmer market mood in China could underpin regional import prices over the longer term.
More specifically, ex-China Q235/SS400 HRC, 2,000 mm offers in Vietnam have been voiced at $478-480/mt CFR for late January-February shipment, compared to $480/mt CFR last week. At the same time, indicative offers for SAE1006 HRC from China have settled at $490/mt CFR level, mainly the same as last week.
Meanwhile, offers for ex-India SAE1006 HRC have been voiced at $478-483/mt CFR mainly for February-March shipment, compared to $479-482/mt CFR last week.
Offers for SAE1006 HRC from other Asian suppliers, including those from Indonesia and Japan have remained relatively the same as compared to last week standing at $485-490/mt CFR and $505-510/mt CFR, respectively. Besides, offers for ex-South Korea HRC have settled at $490-500/mt CFR, mainly the same as last week.
Thus, the SteelOrbis reference price for import SAE1006 HRC has remained at $480-495/mt CFR Vietnam.
As of December 26, HRC futures at Shanghai Futures Exchange are standing at RMB 3,283/mt ($466/mt), increasing by RMB 14/mt ($/mt) since December 19, while declining by 0.06 percent compared to the previous trading day, December 25.
“The Chinese market remained largely unchanged, with conditions still characterized by weak supply and demand. Speculative buying in the spot market was limited, while mills-controlled supply volumes to carry through the winter season. Export activity remained subdued, with the current focus on the smooth execution of existing orders at ports before January 1, after which attention will turn to the New Year market outlook,” a market insider told SteelOrbis.
