Average offer prices for ex-China wire rod have moved up compared to the previous week despite slack demand from the overseas market, while production restrictions continued in major steel making production bases, including Hebei and Jiangsu Provinces. Prices for ex-ASEAN wire rods are stable since the latest increase.
Offers for ex-China wire rod have been heard at $835-880/mt FOB, up $12.5/mt on average compared to that recorded in the previous week. “Though the demand for wire rod has not seen significant improvement yet, the declining output bolstered ex-China wire rod offer prices,” an international trader said.
Prices for ex-ASEAN wire rods have been heard at $770-780/mt CFR on average, but no fresh deals have been reported in the Philippines due to the continuous Covid-19 pandemic and the impact from the decreasing iron ore and scrap prices. The lowest price level is still for ex-Vietnam IF wire rod - $750-765/mt CFR.
As of September 24, rebar futures at the Shanghai Futures Exchange are standing at RMB 5,468/mt ($846/mt), inching down by RMB 10/mt ($1.5/mt) since September 17, while decreasing by 2.8 percent compared to the previous trading day.