Posted on 27 Oct 2021
Mills in Vietnam continue to hike domestic prices of long products because of higher scrap costs, Kallanish notes. Steel demand prospects have improved thanks to an easing of Covid-19 curbs.
Vietnam’s leading mill, Hoa Phat, increased the price of wire rod and rebar each by VND 200,000/tonne ($9/t) effective 26 October. Its new prices for wire rod are VND 16,510/kg and for rebar at VND 16,410-16,610/kg, depending on sizes.
Depending on Vietnamese mill, domestic prices for wire rod and rebar have been hiked by VND 200-300/kg to VND 16,500-17,000/kg, excluding VAT, trading sources say.
While mills are pushing for higher finished steel prices, they are not actively buying imported scrap. “Sellers are rushing to get bids, but mills are keeping quiet,” a scrap trader says. Japanese H2 was recently offered at $547/t cfr Haiphong. Prices of H2 were $5-10/t lower in mid-October. Hong Kong HMS 1&2 50:50 scrap was recently ordered at $530/t cfr Phu My.
Mills are finding it difficult to keep up with rising scrap. Local billet prices are prevailing at the equivalent of $675/t ex-works, the trader notes.
Source:Kallanish
