The imbalance in the global steel market stemming from the war started by Russia against Ukraine has continued to result in higher prices, in particular, for ex-Iran steel billet.
Accordingly, SteelOrbis has learned of a recent sale of 20,000 mt of ex-Iran billet at $670-675/mt FOB, for shipment in April. The price is $60/mt higher compared to the levels fixed in the previous transactions done a week ago. Earlier this week, ex-Iran billet was traded at $650/mt FOB, according to sources.
As of now, at least 90,000 mt of ex-Iran steel billet has been floated in the market within the scope of tenders. In particular, 20,000 mt of steel billet is available for delivery within 50 days after advance payment, while another 40,000 mt is offered for delivery at the end of April-beginning of May. Both tenders are about to be closed tomorrow, March 9, SteelOrbis has learned. One more tender for 30,000 mt of steel billet for delivery at the beginning of April is open for bids until today, March 8. “Prices are skyrocketing on the back of the ongoing war in Ukraine. It is hard to guess a price in the coming trade, as workable levels are so volatile,” a major Iran-based steel billet producer stated.
In particular, earlier ex-Iran billet offers to the GCC market were heard at $670-690/mt CFR, with a trade fixed at $660/mt CFR to an Omani rebar producer. However, as of now Iranian suppliers appear to have withdrawn their offers to this destination in order to evaluate the workable levels.