Posted on 08 Mar 2023
Hot rolled coil buyers in the Gulf Cooperation Council are receiving contradicting price offers. A Japanese major reduced its initial HRC quote to $725/tonne cfr GCC from its target price of $740/t cfr, but Chinese mills hiked their price offers $35-40/t on-week, Kallanish notes.
Last week, a buyer concluded a deal from two mills in different Far Eastern countries for a combined 25,000 tonnes of re-rolling grade (SAE 1006) multiple thicknesses HRC, at an average price of $705-710/t cfr GCC for late-April/May shipment.
Early this week, a tube maker concluded a deal with a Chinese mill for 10,000t of SS400 grade HRC at $705/t cfr GCC ports. On the other hand, China-origin same-grade offers on Tuesday were at $745-750/t cfr GCC for May shipment.
A major Chinese supplier of 1.2mm SPHT-1 grade increased its price to $755-765/t cfr GCC for May shipment, from last week's $730-735/t cfr.
The Saudi mill, the region's sole HRC producer, issued its initial price offer for 3mm SPHC (base grade) at $810/t delivered for May rolling, while Taiwanese product is quoted at $720-730/t cfr for May shipment.
"I have difficulty in understanding the trend. Chinese mills raised their prices overnight, amid the absence of Indian HRC offers in our market,” comments a regional trader.
Source:Kallanish
