While no new, "concrete" range has been offered for imported rebar from Mexico, traders tell SteelOrbis that Mexican mills have quietly issued a general statement saying that they will follow the US rebar market's uptrend. Before US domestic rebar mills announced a $1.50 cwt. ($33/mt or $30/nt) increase in transaction prices two weeks ago, the offer price range for Mexican rebar was $30.50-$31.50 cwt. ($672-$694/mt or $610-$630/nt) DDP loaded truck delivered to US border states. Because Mexican mills will not commit to a firm $32.00-$33.00 cwt. ($705-$728/mt or $640-$660/nt) range, traders believe that it might be possible to get lower bids accepted, considering demand for Mexican rebar is not currently strong in the US. Turkish rebar offers, meanwhile, are stuck in the range of $31.00-$32.00 cwt. ($683-$705/mt or $620-$640/nt) DDP loaded truck in US Gulf ports--unchanged from last week--with traders indicating that a softening trend is on the horizon.
As for the US domestic rebar market, spot prices are stable after absorbing the full $1.50 cwt. increase ahead of schedule (it was supposed to be effective with September shipments). US mills are finding little to no trouble securing orders in the range of $34.50-$35.50 cwt. ($761-$782/mt or $690-$710/nt) ex-mill, especially considering that shredded scrap prices are expected to trend upward again next month. Sources tell SteelOrbis that because of the ease with which the latest increase went through, US mills will undoubtedly announce another increase next month--likely matching the scrap increase dollar-for-dollar.