Major Vietnamese steel producer Formosa Ha Tinh has dropped its prices for wire rod in July, after holding them stable last month. Weak demand is the main reason behind the move. Chinese wire rod prices moved down first in the beginning of July and recovered later, so the export activity is limited now.
Wire rod prices from Formosa Ha Tinh to local customers for September shipments are at $820/mt CFR, while being negotiated at $880-895/mt CFR last month, SteelOrbis has learned.
Offers for ex-China wire rod have come down to $830-870/mt FOB, down by just $10/mt over the month, as of today, July 20. “China is not focused on exports at the moment because of local market [prices] and supply concerns [due to production cuts],” a trader said.
