International demand for ex-CIS billet is still at low levels. With the influence of the downtrend of import scrap prices in Turkey (which started at the beginning of May and continued until this week), ex-CIS billet offers have moved down by an average of $10/mt week on week to $510-520/mt FOB. Additionally, ex-CIS billet offers are mostly observed to be closer to the upper end of this price range.
Due to Ramadan, buyers in Egypt and Turkey are in no rush to conclude new billet purchases, and so demand for ex-CIS billet in these countries - which are the main export markets of CIS-based suppliers - is weak. During the past week, CIS-based exporters’ billet offers to Egypt and Turkey have both decreased by an average of $10/mt to $535-540/mt CFR and $530-535/mt CFR, respectively.
While China’s billet export prices to its main market, the Far East, are at $525-545/mt FOB, demand for ex-CIS billet in this region has improved. It is observed that CIS-based suppliers’ billet sales have mostly been concluded to Far Eastern markets in the current week. On the other hand, market sources report that an ex-CIS billet deal has been concluded in Tunisia at $505/mt FOB.