According to a number of sources, a cargo of Vietnamese billet from the major BF-based mill has been traded at $422/mt CFR for October shipment to China on Monday. Vietnmaese billet is not subject to two percent import duty, so this level is equivalent to around $414/mt CFR for non-Southeast Asian billet.
This deal price has confused the market as the latest contract for Indian billet has been heard at $420-425/mt CFR. “One trader bidded at $420/mt CFR level to India these days, so I am confused,” a market source told SteelOrbis.
Lower deal price for ex-Vietnam billet has been assessed as a bad sign in the current market conditions as it reflects resistance from the section of buyers in China to further uptrend.
