Rebar prices in Asia have witnessed minor changes over the past week, while demand has been limited. At the same time, ex-China offers have declined as local demand has slackened in the traditional offseason of winter.
While the indicative price level for import rebar in Singapore is still at $450/mt CFR on theoretical weight basis, some offers for ex-Ukraine rebar have been heard at $5/mt lower. Turkish mills have been able to offer at $470-475/mt CFR Singapore. Some sources said that $445/mt CFR should be a tradeable level for Singapore, but overall demand has started to weaken following previous deals.
A deal for regar of unknown origin is heard to have been concluded at $453/mt CFR Hong Kong on actual weight basis last week, which is slightly higher compared to the previous deal level of $448/mt CFR for ex-Qatar material, but sources said that recent contracts have been for a very limited volume.
Prices for ex-China rebar have edged down this week. SteelOrbis has been informed that ex-China HRB400 grade 20 mm rebar export prices are standing at $460-470/mt FOB as of today, Friday, December 20, down $10/mt compared to December 13.
During the given week, major Chinese steelmaker Hesteel has cut its local prices for rebar by RMB 150/mt ($21/mt) to RMB 4,290/mt ($612.9/mt) ex-works for mid-December, signaling bearish sentiment as construction activities slacken amid cold weather. The price cut has been followed by other Chinese steelmakers. Market players have been waiting for a suitable time to build up stocks, as sources state, which would likely bolster local rebar prices to some extent.
Average rebar spot prices in China have declined by RMB 77/mt ($11.0/mt) week on week to RMB 3,903/mt ($557.6/mt) ex-warehouse, according to SteelOrbis’ information.
As of December 20, rebar futures at the Shanghai Future Exchange are standing at RMB 3,507/mt ($501/mt), decreasing by RMB 16/mt ($2.3/mt) since December 13.
$1 = RMB 7.002
