The rebound in the Chinese market has supported the mood in the import billet market in Southeast Asia, though the price rise has been cautious. A few deals reported since last week have mainly been at the previous levels, though buyers may accept some higher levels in the near future.
The SteelOrbis reference price for imported 3SP and 5SP billet in Southeast Asia has settled at $510-517/mt CFR this week, up by $5-7/mt over the past week.
Buying in the Philippines has been limited and the achievable price for buyers is $510/mt CFR, in line with the previous deal reported last week as done by a Chinese trader for 5SP material. However, offers have been moving up during the week, from $510/mt CFR on Friday to $514/mt CFR on Wednesday and to $517/mt CFR on Thursday for 5SP 130 mm Indonesian material. “There has been a slight increase. Deals are possible here, but maybe not many,” an importer from Manila said. An offer for ex-Thailand IF billet has been at $500/mt CFR, versus $495-498/mt CFR last week, but not many buyers are interested in this material.
In Indonesia, a deal for 20,000 mt of ex-China 5SP billet was signed at $510/mt CFR last week, while this week negotiations for similar material early this week were held at $510-512/mt CFR. “New offers are at $515/mt CFR and higher, but that price is not competitive,” a source from Jakarta said. Not much demand has been seen in Thailand lately. Offers from traders for ex-Iran billet have been rare and not below $510/mt CFR.
The leading mill based in Russia’s Far East region is still focusing on sales to Taiwan. Some tonnages of at least 20,000 mt of 150 mm billets have been traded at $500-505/mt CFR, $5/mt below the previous offers, but above the tradable level at below $500/mt CFR reported over the past few weeks.
