Global Flat Steel Market Overview - Week 32, 2019

Chinese HRC export offers continue to remain downside - Chinese HRC exports offers witnessed slight correction by USD 5/MT on weekly basis due to slow demand from overseas buyers.

Currently nation’s HRC export price assessment are at USD 500-505/MT FoB basis against USD 505-510/MT in previous week. However major steel mills are offering HRC at around USD 510-515/MT FoB basis.

Meanwhile prices in Eastern China stood at RMB 3,690-3,700/MT. Prices mentioned above are inclusive of 13% VAT.

Continual fall in nation’s HRC prices due to fluctuating futures,weakening demand from overseas buyers and depreciation in Yuan have kept HRC export offers on lower side.

Also USA proposing 10% tariff on USD 300 billion of Chinese imports effective from Sep’19 resulted to bearish sentiments and downturn in steel prices.

Imported HRC offers to Vietnam continue to remain under pressure- Vietnam’s imported HRC offers soften further from major exporting nations over weak trades happening in Vietnam market.

Current HRC trades to Vietnam
1.HRC (SAE 1006) 2-3mm/Chinese offer- Benxi Steel is at USD 500/MT CFR Vietnam.In the beginning of the week offers were around USD 508/MT CFR basis.

1.HRC (SAE 1006) 2-3mm/Chinese offer- Laiwu Steel is at USD 490/MT CFR Vietnam.In the beginning of the week offers were around USD 500/MT CFR basis.

2.HRC (SAE 1006) 2-3mm/India – India offer at USD 500/MT CFR Vietnam.

3.HRC (SAE 1006) 2-3mm/Korean offer- Hyundai Steel is at USD 520/MT CFR Vietnam.

4.HRC (SAE 1006) 2-3mm/Japan offer- Nippon Steel is at USD 520/MT CFR Vietnam.

5.HRC (SAE 1006) 2-3mm/Brazil offer- Arcelor Mittal is at USD 503/MT CFR Vietnam.In the beginning of the week offers were around USD 507/MT CFR basis.

Indian HRC export offers soften over dull trades - Major Indian steel makers have lowered their HRC export offers to Nepal and Vietnam amid slow demand from overseas buyers.

Last week Indian steel mills booked around 5 rakes of HRC with Nepal at USD 525/MT CFR basis for Aug- sep shipments.

Also Indian mills are offering not less than USD 500-505/MT CFR Vietnam.However buyers in Vietnam are bidding on lower side which is around USD 495/MT CFR basis.