During the past week, import prices for rebar in Asia have moved up further, supported by slight rises in the scrap segment and expectations that rebar demand in the region will remain stable in the near future. Chinese exporters have been mainly out of the export market, waiting for the final tax rebate announcement.
Offers for ex-Turkey rebar have been heard at not less than $680/mt CFR Singapore, theoretical weight, up by $10/mt compared to the previous deal from Turkey to this destination. Though some sources said that a deal at this level has already been done, this has not been confirmed by the time of publication and many sources agree that the negotiations are continuing. Nevertheless, bids have been already seen at $5/mt higher than a week before, at $675/mt CFR, and demand is likely to persist, sources have said.
Import rebar prices in Hong Kong have been mainly at $695-700/mt CFR, versus a number of deals at $680-690/mt CFR Hong Kong reported in the week ended April 2. There have been reports of one deal at $685/mt CFR Hong Kong, actual weight, but it is thought to have been done earlier, and not to be a fresh transaction.
Ex-China rebar offer prices have been heard at $710-720/mt FOB for May shipment, moving sideways on average compared to April 2. “The unclear export tax rebate issue has exerted a negative impact on rebar exports, especially amid the weak competitiveness of ex-China rebar prices, with most steelmakers holding back from giving offer prices,” an international trader said.
Average rebar spot prices in China gained RMB 113/mt ($17.3/mt) week on week to RMB 5,130/mt ($784/mt) ex-warehouse as of April 9, according to SteelOrbis’ information.