Most billet exporters have been trying to increase prices for Southeast Asia, following the demand revival seen last week and new deals at higher price levels to China early this week. But most customers in the Philippines have not been very active, saying that the current long steel market conditions are not providing support for the acceptance of higher billet prices.
Offers for BOF/EAF billet from different countries to the Philippines have increased slightly to $680-690/mt CFR, versus deals done at $675-680/mt CFR last week. “The Philippines has demand, but is opting for offers close to last week’s,” a local Manila-based trader said. There has been information about negotiations for a cargo of 3SP BF billet in the Philippines at $680/mt CFR, but there has been no confirmation as to whether the deal was done or not.
One source said that a contract for IF billet to the Philippines has been done at $670/mt CFR this week, though there have been no details regarding the origin of the material.
In Thailand and Indonesia, the situation has been similar. Offers have been reported at $685/mt CFR on average for BOF and $670-675/mt CFR for IF billet, but no fresh deals have been reported. “Buyers are still trying to prolong decisions. They want to see how demand is going even if it is time to restock for Q4/Q1,” a trader said.
The SteelOrbis reference price for imported billet (excluding IF) in Southeast Asia has been at $680/mt CFR, moving up by just $2.5/mt on average from last week’s level of $675-680/mt CFR.