SE Asia Billet Import Prices Witness Further Drop

After witnessing some deals towards end of the last week, the SE Asia’s billet import market reported dull this week. Sharp plunge in global scrap prices turned market sentiments gloomy in global billet market. After India upturned its interest towards the region, the SE Asia buyers are now trying to further pull down the billet prices. As a result of which further drop in the offers from CIS nations was seen this week.

In the interest of the buyers, offers from CIS nations lowered twice in this week.

SE Asia’s current billet import indication is at around USD 410/MT, CFR levelsThe disparity intensity; between buying interest and offers, is increasing in the region with every passing day. And drop in Turkey’s scrap import prices has triggered the situation. The Turkish scrap import prices now stands at over 2 years low.

Billet export offers from CIS drops further- This week billet export assessment from CIS nations stands at USD 365-375/MT, FoB Black Sea, down USD 20-22 against last week. The market sentiments were reported weak in the region. Although, one deal from the region to Middle East of quantity USD 50,000 MT is reported to conclude at USD 373/MT, FoB, Black Sea. However, the buying interest further moved down by USD 5-10 /MT.

Vietnam billet offers - This week Vietnam’s domestic billet offers are at USD 450/MT, identical as last week. Amid lower prices in exports, mills were heard preferring selling billets in domestic market. The marketers believe, they cannot compete with Indian origin billets and hence focusing on the domestic market and marketers are enjoying the local prices.

As per SteelMint’s assessment, of US-origin HMS 1&2 (80:20) scrap has moved down to USD 253/MT, CFR Turkey. While assessment of European origin HMS 1&2 (80:20) currently stands at USD 247/MT, CFR Turkey. Prices have moved down by around USD 15-20/MT against last week’s report.