Even though ex-India billet prices have been kept stable, some sellers were heard to be submitting lower offers but still failed to drive any sales with buyers in key destinations expecting an imminent correction in the market, SteelOrbis learned from trade and industry circles on Wednesday, December 17.
Sources said that ex-India billet prices have largely been kept stable in the range of $435-440/mt FOB, while at least two large mills are reported to have submitted lower offers at near $430/mt FOB, but no deals were confirmed even at these levels.
According to the sources, the slight downward adjustments of some offers failed to trigger any trade as buyers in key Asian destinations are expecting a stronger correction round the corner and hence have been deferring any new import bookings.
“Demand for semis is weak in most markets during the winter months. The lower volume offering from producing countries is not sufficient to offset the weak demand,” a source from India said.
“We are continuously assessing the market. But we do not see much leeway in further adjusting offers to drive sales without effective margin viability,” he added.
