Despite some discounts possible from suppliers for import rebar in Southeast Asia, the trading activity has remained slow over the past week due to still high offer-bid gap. During the given week, ex-China rebar offer prices have edged up by $10/mt amid the rises in spot market in the Chinese domestic market and lower supply.
Ex-Turkey rebar offer prices have been heard at $725/mt CFR Singapore on theoretical weight, while last week the level was $725-735/mt CFR. Suppliers have been able to provide even lower levels like $720/mt CFR, but this could not attract customers, who bid closer to $700/mt CFR.
Ex-Middle East rebar offers have been heard at $750/mt CFR. Such a high level has been connected with the producers’ good positions after sales of billet to China. As SteelOrbis reported earlier, two major mills managed to sell billets at $715-720/mt CFR to China over the past weeks, so they have not been interested in rebar sales at the almost the same level.
Ex-China rebar offer prices have been heard at $870-900/mt FOB, for November shipment, moving up by $10/mt on average compared to the stable trend recorded on September 17. “Rebar futures prices have edged down slightly, while the sharp increases seen in coking coal and coke prices bolstered rebar prices, and the decreasing supply of rebar exerted a positive impact on the market,” an international trader said.
Average rebar spot prices in China have gained RMB 186/mt ($28.8/mt) week on week to RMB 5,803/mt ($898.3/mt) ex-warehouse, according to SteelOrbis’ information.
As of September 24, rebar futures at the Shanghai Future Exchange are standing at RMB 5,468/mt ($846/mt), decreasing by RMB 10/mt ($1.5/mt) or 0.18 percent since September 17.
$1 = RMB 6.4599