SteelOrbis Shanghai
Driven by the brisk commercial activity, Chinese semi-finished steel prices have seen continuous increases throughout last week.
Chinese long product prices, especially those of
wire rods, have seen rapid increases after the holiday, boosting rolling mills' desire to purchase billets. Therefore, the commercial activities in Hebei, Shandong and Fujian improved.
As the
semis prices in the international market keep increasing recently, the deal prices for Russian billets to the
Philippines are at $420-430/mt CFR
Russia. However, Russian steel mills are not accepting follow-up orders from the steel mills in the
Philippines.
The possibility of export duty levy on semi finished steel seems little nowadays. According to the relevant authority, the adjustment to the export tax rebate involves finished steel only. Therefore, most
semis producers have started accepting export orders, although some of them are still cautious. In Tangshan, most steel mills are mainly exporting low alloy billets.
According to the current market condition, the availability of semi finished steel is tight in the global market. The domestic
semis prices may keep the upward trend. In addition, the hike in international
iron ore prices may further boost the
semis prices.