Workable prices for imported rebar in Southeast Asia have failed to rise over the past week even though a number of suppliers have been aiming for higher levels. In China, the situation has also been far from bright, which has also affected sentiment.
Inventory of rebar in Singapore has been sufficient, and so buyers have been unwilling to purchase. The tradable price level for ex-Malaysia rebar has remained at $600/mt CFR Singapore, theoretical weight, though a number of suppliers have been trying to increase prices, following gains in the scrap segment. For instance, some offers from the Middle East have been coming to Singapore at $650/mt CFR and above.
Offer prices of ex-Malaysia rebar have been heard at $620-630/mt CFR Hong Kong, actual weight, signaling that the market has improved gradually from the previous level of $600/mt CFR Hong Kong.
Ex-China rebar offer prices from mills have been heard at $630-650/mt FOB, for October shipment, remaining stable on average compared to the previous week.
“Mainstream steelmakers in China have resumed production gradually, while the hot weather has negatively affected the demand for rebar, and further observation is needed for the future market situation. Recently, scrap prices in Turkey have edged up, bolstering the rebar market to some extent, while the European market has remained quiet,” an international trader said.
On August 15, rebar futures contract (rb2210) offers closed at RMB 4,126/mt ($612/mt) at Shanghai Futures Exchange, down RMB 10/mt ($1.5/mt) or 0.24 percent compared to August 8.