During the given week, ex-China rebar offer prices have moved down sharply, becoming the most competitive in Southeast Asia. However, demand in Singapore and Hong Kong has been slow and no new deals have been heard this week.
Ex-China rebar offer prices have been heard at $540-560/mt FOB, for December shipment, moving down by $50/mt on average compared to October 21.
“The prevailing bearish sentiments among market players have exerted a negative impact on rebar prices, while demand for rebar in northern China is expected to slacken when temperatures decrease in the near future,” an international trader said.
Offer prices of ex-Vietnam have been heard at $570/mt FOB, less competitive than ex-China rebar.
The lowest offers in Singapore have been reported for ex-China rebar this week at $560-565/mt CFR theoretical weight, down from the previous deals at $570/mt CFR reported last week. Though the sizes of rebar from China offered at lower levels are limited, the price has been assessed as being fairly aggressive and buyers may push for below $560/mt CFR.
Meanwhile, ex-Malaysia rebar has been heard offered $585/mt delivered to Singapore, theoretical weight.
Average rebar spot prices in China have lost RMB 124/mt ($17.3/mt) compared to October 21, standing at RMB 3,893/mt ($543/mt) ex-warehouse, according to SteelOrbis’ information.
As of October 28, rebar futures at the Shanghai Future Exchange are standing at RMB 3,490/mt ($487/mt), decreasing by RMB140/mt ($5.6/mt) or 3.9 percent since October 21.
$1 = RMB 7.1698