After the end of the Chinese lunar New Year holiday, the world steel markets have been awaiting Chinese buyers' new transactions for raw materials. SteelOrbis has learned that after the holiday iron ore spot prices in the Chinese domestic market have started to test levels of $200/mt.
Last week, pig iron export offers from Brazil were still standing in the price range of $500-510/mt FOB for late February and March shipments, indicating no change as compared to the week before. These offers are expected to see an adjustment this week, in line with the pig iron demand from China.
Also last week, pig iron export offers from Ukraine were standing in the price range of $515-525/mt FOB for late February and March shipments. However, as SteelOrbis has previously reported, a deal was concluded at slightly below the above price range for approximately 40,000 mt of pig iron ex-Ukraine, with the same lead time. Meanwhile, early this week, it is reported that Ukrainian suppliers' pig iron export offers stand at $510-515/mt FOB for March shipments.
On the other hand, ex-Russia pig iron export offers have been standing at $530-540/mt FOB for March shipments; however, following the announcement of Ukrainian pig iron export offers, market players indicate that for genuine buyers Russian suppliers may offer below the abovementioned price range.
Last week, Turkish producers returned to the scrap market for new purchases after a long absence, while the Chinese lunar New Year holiday also ended. Following these developments, pig iron prices are expected to become clearer in the coming days.