Posted on 20 Oct 2025
Export prices for billet from China tumbled last week, Kallanish notes. This has dragged prices down in ASEAN although Indonesian mill, Dexin Steel, has increased its offer levels after selling out its December allocations.
Chinese exporters received more bids from overseas markets last week as the prevailing 3sp 150mm billet offers slipped to around $429-430/tonne fob, down by $5.5/t week-on-week, when the most traded January 2026 rebar contract on Shanghai Futures Exchange dropped by CNY 66/t ($9/t).
Domestic mills' billet profits deteriorated compared to the previous week, and some inland producers have halted blast furnaces
Some Chinese 3sp billet transactions were concluded at recent lows of $423-425/t fob during Tuesday and Wednesday last week. The destinations for Chinese billet transactions last week included Sri Lanka and Africa.
While some traders thought that this price level was too low, other trading sources told Kallanish that the deals may be done by traders who were holding billet hedged alongside the SHFE rebar contract. These traders closed most of their positions when the SHFE slumped.
In ASEAN, Dexin sold a large tonnage of 3sp 150mm billet for December shipment around 15 October when it lowered its prices to $430/t fob from $433/t the day before.
Many regional traders are not clear about the destination of these cargoes, but some heard that the cargoes would head for the Middle East and Malaysia. Dexin subsequently lifted its billet prices for January shipments to $433/t fob on 16 October and to $435/t fob on Friday.
In Manila, offers for modified 5sp150mm billet are prevailing at $445/t cfr and for 3sp billet, $438-440/t cfr.
“Offers have definitely come off since last week,” a Manila trader said on Friday. Offers for 5sp billet were at $450-455/t cfr during the week through 10 October.
Most traders say that they do not hear of any recent deals in the Philippines. “Most of buyers are waiting for $435/t cfr for 5sp 150 square," a regional trader says.
In Jakarta, Chinese 5sp 150mm square billet for mid-November shipment is offered at $447/t cfr compared to $455/t cfr a week ago. Prices for 3sp billet are $5/t lower.
Kallanish assessed 5sp/ps or Q275 120/125/130mm square billet on Friday at $445-450/t cfr Manila, $7.5/t lower on-week.
Source:Kallanish
