New deals for ex-Turkey rebar have been reported to Southeast Asia this week, with prices adding at least $40/mt. Ex-China rebar prices have shown sharp rises and have been entirely uncompetitive.
A deal for 50,000 mt of ex-Turkey rebar has been discussed as having been done to Singapore at $725/mt CFR theoretical weight. This price is $40/mt above a contract done by an Algerian seller, reported last week.
In addition, a contract to Hong Kong has been rumored at $740/mt CFR actual weight, though this could not be confirmed so far. Some sources said that prices should now not be less than $750/mt CFR. The previous tradable level to Hong Kong was assessed at $700/mt CFR.
Ex-China rebar offer prices have been heard at $870-890/mt FOB, for June shipment, moving up by $65/mt on average compared to April 30. “The sharp rises in local rebar prices following the Labor Day holiday (May 1-5) have pushed up ex-China rebar offer prices, while some steelmakers mentioned they won’t give offer prices due to slim opportunities to export,” an international trader said.
Average rebar spot prices in China have gained RMB 323/mt ($50/mt) week on week to RMB 5,570/mt ($861/mt) ex-warehouse, according to SteelOrbis’ information.
As of May 7, rebar futures at the Shanghai Futures Exchange are standing at RMB 5,678/mt ($878/mt), increasing by RMB 287/mt ($44.4/mt) or 5.3 percent since April 30.
$1 = RMB 6.4678