Having increased their export offer prices last week amid higher scrap quotations, some CIS-based suppliers have slightly reduced their offers in the current week.
Although no fall has been recorded in scrap quotations for now, concerns observed in the international markets have eased off slightly, since iron ore prices have not increased as much as feared after Vale’s additional production cuts but instead have decreased by more than $2/mt following Vale’s announcement yesterday, March 20, that it is waiting to restart production at two of its facilities.
Having been in the range of $460-465/mt FOB last week, ex-CIS 3SP base grade billet offers to the international markets are now mostly at $450-460/mt FOB. However, SteelOrbis has also been informed that offers at $465/mt FOB are given by some CIS-based producers, depending on the fullness of their order books. Meanwhile, 5SP grade billet offers from CIS-based producers are in the range of $460-470/mt FOB. Most of these abovementioned offer prices are for May output.
While it is observed that trade firms’ offers are more attractive than producers’ offers, traders’ offers of 3SP base billet export at $445-455/mt FOB for April shipment can also be heard.