Posted on 13 Mar 2024
Chinese prices of commercial grade hot-rolled coils (HRC) for export kept trending downward during the week of March 4-8, while overseas demand for China-origin hot coils stayed weak, Mysteel's weekly market roundup shows.
As of March 8, the export price of Chinese SS400 4.75mm HRC under Mysteel's assessment had dropped for a third consecutive week to $545/t FOB from North China's Tianjin port, lower by $10/tonne on week. Similarly, the export price of China-origin SPCC 1.0mm cold-rolled coil had also declined by $9/t on week to $638/t as of the same day, also on FOB Tianjin basis.
In response to weak overseas demand for Chinese hot coils and falling domestic HRC prices, Chinese steelmakers continued to cut their export offers for flat products last week hoping to facilitate sales, Mysteel's roundup observed.
For example, some steel mills in North China clipped their export quotations for Q195 HRC by another $10/t on week to $530/t CFR Vietnam, according to Mysteel's tracking. They also lowered their export prices for Q235 HRC to around $5544/t CFR Vietnam, down by $4/t on week, the data show.
Mysteel also heard that a leading steel trader in East China cut its export price for SS400 HRC by $5/t on week to $545/t CFR Vietnam.
Nevertheless, the appetite for China-origin hot coils among Vietnamese buyers remained slack last week, with their interest cooled further by the steady retreat in domestic Chinese HRC prices, market sources noted.
Elsewhere, a deal involving 10,000 tonnes of China-origin HRC was reached in the United Arab Emirates at a price of $617/t CFR last week, Mysteel heard.
Source:Mysteel Global
