Prices for imported wire rod in Southeast Asia have remained stable compared to last week from almost all suppliers, though moods have been bearish amid slack demand. Average offer prices for ex-China wire rods have been stable over the past week too.
Offer prices of ex-Malaysia and ex-Indonesia wire rod have been heard at $590-600/mt CFR Manila, while buyers have been unwilling to buy due to their relatively high inventory levels. The reference import prices of wire rod have remained at $575-590/mt CFR Manila. But if during the previous few weeks there were some rare small deals (last one was at $580/mt CFR Manila in particular), this week demand has worsened even further. “Prices are steady. But not because the market is good, there is less demand for wire rods than for billets,” a source from Manila said.
Offer prices of Vietnam Hoa Phat CB240-T wire rod have been heard at $600-605/mt FOB amid the slack demand in East Asia, down $12.5/mt week on week.
Offers for ex-China wire rod have been heard at $600-630/mt FOB, moving sideways on average compared to last week.
“The improving profitability on wire rod producers’ side made them willing to produce, while the inventory has indicated a declining trend, and the fading high temperature may exert a positive impact on the demand for wire rod in the coming month,” an international trader said.
As of Thursday, August 25, rebar futures at the Shanghai Futures Exchange are standing at RMB 4,052/mt ($591.5/mt), increasing by RMB 11/mt ($1.6/mt) or 0.27 percent since August 18.