Ex-Iran billet prices for Southeast Asian customers have been under pressure recently due to lower ex-CIS prices and weak demand. However, as the trend of ex-CIS export prices has started to reverse, Iranian suppliers have started to follow suit.
The latest contract for 20,000 mt of ex-Iran billet has been signed at $420/mt CFR Thailand, up $5-10/mt compared to traders’ lowest offers in the market earlier. Offers were mostly at $410-415/mt CFR Indonesia and Thailand before, according to a number of sources, including re-rollers and traders in Southeast Asia. “Offers are mostly at $410/mt CFR, but buyers here are waiting for $400/mt CFR,” a Bangkok-based source said. Lower-priced material was purchased by traders earlier, some sources said, while the latest offers for ex-Iran billet from mills have been at $385-390/mt FOB since late last week, which corresponds to above $420/mt CFR.
The latest offers for ex-Iran slabs have been at $420/mt CFR Southeast Asia and market sources are waiting for a $10/mt decline in a new tender, taking into account falling HRC prices in Asia.
