Posted on 05 Nov 2021
The rebar import markets in Singapore and Hong Kong have softened this week, Kallanish notes. The downtrend is attributed to the plunge in the Chinese domestic market, as well as the softening in steelmaking raw materials.
Offers for theoretical-weight rebar from the Middle East have dipped to around $745/tonne cfr Singapore. Regional rebar prices have fallen because spot rebar suffered large losses in China, a regional trader says. Offers for rebar from the Middle East and Vietnam were pegged at $760/t cfr last week.
“The market has weakened,” a Singapore trader said on Wednesday. A Singapore user recently booked a 10,000-tonne import cargo at $705/t cfr Singapore for shipment from March next year onwards. “It is possible to do derivative trades for next year at $700/t cfr or even lower. Chinese derivative prices are down, he adds. Offers are prevailing at around $740/t cfr, another buyer says. "Prices are likely to go down," he observes.
In Hong Kong, offers for Middle Eastern actual-weight rebar for December/January shipment have fallen to around $750/t cfr. Middle Eastern rebar orders for December shipment concluded at $760/t cfr Hong Kong two weeks ago. An importer believes there were no recent bookings for December/January shipments.
Suppliers of Indian rebar and long products have not been active recently in East Asia. The lack of export offers is due to the Diwali celebrations this week, but demand in India is seasonally good for longs for the next two months. “Domestic demand is fine. Indian mills are not pessimistic,” an Indian trader says.
Kallanish assessed BS4449 500B 10-40mm diameter rebar at $740/t cfr Singapore theoretical weight, down $2.5 on week.
Source:Kallanish
