International pig iron buyers await new pig iron prices for August shipments

In the Turkish domestic pig iron market, local producer Kardemir had announced its latest price levels on June 14, keeping its prices unchanged. Accordingly, Kardemir's price of H1 pig iron has remained at $625/mt plus VAT, its H2 price is still at $615/mt plus VAT, while its price of C1 pig iron is at $590/mt plus VAT, and its price for C2 pig iron is at $580/mt plus VAT.
 
On the other hand, the CIS pig iron producers are still trying to persuade Turkish buyers to conclude new orders. SteelOrbis has learned from market sources that ex-Russia pig iron export offers still stand at $530-540/mt FOB for July shipments. While buyers in central Europe are reluctant to conclude new pig iron bookings, most southern European buyers are adopting a wait-and-see stance as regards new bookings due to sluggish finished steel demand. SteelOrbis has further learned that Ukrainian pig iron offers were at $525-530/mt FOB last week, also for shipments in July. Since the Ukrainian market will be absent until the middle of this week due to Constitution Day, the new pig iron export offers for August shipments are expected to be revealed next week.
 
Following the 12th International Foundry Trade Fair - GIFA, which will be held in Düsseldorf, Germany between June 28 and July 2, players in the international pig iron market are expected to clarify their next move regarding new pig iron bookings.
 
Although CIS pig iron suppliers are still seeking to keep their export prices firm, Turkish buyers continue to balance their pig iron imports by also using high quality scrap, due to the price advantage involved. 
 
In the coming period, Turkish producers are expected to decide their next move regarding pig iron bookings by considering the trends in the finished product market, which followed a softening trend last week.