During the given week, ex-China rebar offer prices have indicated slight rises, though overall sentiment in the Asian market has remained weak. Most non-Chinese suppliers have been offering at the same low level as last week or have even corrected their prices down slightly.
Ex-China rebar offer prices have been heard at $520-540/mt FOB, for October shipment, increasing by $5/mt on average compared to August 25. “Rebar futures have seen an uptrend as market players expect better demand in the traditional peak season of September and October, while inventory of rebar has decreased, bolstering prices, though the production restrictions on steelmakers have not been as strict as market players expected. As a result, the risk of downward pressure still exists if demand does not improve as expected,” an international trader said.
Offer prices of ex-Malaysia rebar have been heard at $530-540/mt DAP Singapore theoretical weight, translating to $525/mt CFR on average, down by $5-10/mt over the past week. Offer prices of Vietnam-based Hoa Phat rebar have been heard at $550/mt CIF Singapore, but are not competitive. The reference price for imported rebar in Singapore has settled at $525-535/mt CFR, down by $5/mt over the past week.
Ex-ASEAN offers of rebar in Hong Kong have been heard at around $540/mt CFR. Buyers in Southeast Asia have been inactive in giving counter-offers.
Average rebar spot prices in China have gained RMB 27/mt compared to August 25, standing at RMB 3,790/mt ($528/mt) ex-warehouse, according to SteelOrbis’ information.
As of September 1, rebar futures at the Shanghai Future Exchange are standing at RMB 3,778/mt ($526/mt), rising by RMB 62/mt ($8.6/mt) or 1.7 percent since August 25.
$1 = RMB 7.1788