Demand for imported billets in the Southeast Asian market has improved gradually this week. Russian and Indian suppliers have managed to conclude deals, giving only small discounts. Their prices came to $440-450/mt CFR, SteelOrbis has been informed, with the lower end of the range having slipped by $5/mt over the week.
According to market sources, close to 100,000 mt of billet has been traded to Southeast Asia this week. One Russian supplier managed to sell about 20,000 mt at close to $450/mt CFR for September shipment. Moreover, deals to some other countries in the region have been concluded in the wider range of $440-450/mt CFR. “The current workable price is $445-450/mt CFR in the Philippines. Customers are bidding lower but have to pay such prices to replenish stocks,” a Manila-based source said.
An Indian tender has been closed at a price equivalent to $440/mt CFR, SteelOrbis has been informed. At the same time, a batch of billet made by a smaller producer in India has been sold through a trader at $445/mt CFR.
A position cargo of Malaysian semis was still offered at $440/mt CFR.
Although there are still bearish sentiments in the market, prices are unlikely to drop much in the coming week due to the slightly better situation in the Chinese market and the halting of the sharp drop in iron ore prices
