CIS-based billet suppliers’ export prices have increased by $15/mt on the lower end and by $10/mt on the upper end over the past two weeks and are currently at $520-530/mt FOB.
Global scrap quotations have moved sideways for the third consecutive week, while buyers in CIS-based billet suppliers’ main export markets postponed their purchases until after the Feast of Sacrifice holiday (Aug. 31 -Sept. 4). However, demand for billet received from electric arc furnace-based producers has increased due to the ongoing tightness of electrode supply. Also, the order books of CIS-based billet suppliers are fairly full. As a result, ex-CIS billet prices have maintained their upward movement. Although Chinese billet export quotations have indicated a fluctuating trend over the past two weeks, they are still considered to be on the high side. With Chinese suppliers not maintaining a competitive price strategy in their export markets, they are also supporting the rises seen in billet export quotations from the CIS.
Following the national Victory Day (Aug. 30) and the Feast of Sacrifice (Aug. 31-Sept. 4) holidays, Turkish buyers have just returned to the market. Demand in the local Turkish finished steel market is at very low levels, and so Turkish buyers are in no rush to conclude new billet purchases, while they consider ex-CIS billet offers at $535-545/mt CFR to be on the high side and so demand for ex-CIS billet in Turkey is also weak.
Like their Turkish counterparts, Egyptian buyers have also returned from the Feast of Sacrifice holiday but have not yet accelerated their billet purchases. According to market sources, CIS-based billet suppliers’ offers to Egypt are currently at $353-550/mt CFR.
As well as the Turkish, Egyptian buyers have also returned from Feast of Sacrifice holiday but have not accelerated their billet purchases yet. According to market sources, CIS-based billet suppliers’ offers to Egypt are currently at $535-550/mt CFR.