Posted on 13 Nov 2023
The Vietnamese hot rolled coil import market is seeing sparse trades on account of the strengthening of Chinese steel futures, Kallanish notes. Offers have shot up and buyers are slow to react to the sharp price hikes.
Offers for Chinese-origin 3mm base thickness Q195 HRC are prevailing at $538-540/tonne cfr Vietnam, up $10/t from 3 November. Suppliers have also raised offers for Chinese 3-12mm thickness Q235 to $548-550/t cfr Vietnam, which is up from $535-538/t cfr previously.
Several deals for Q235 HRC were struck at $530-532/t cfr, trading sources in Ho Chi Minh City (HCMC) say. But after that, the market quietened when offer prices rose.
The import market for SAE 1006 HRC is quieter, with no firm offers heard in the past week. Chinese SAE 1006 quotes ranged from $555-560/t cfr Vietnam at the start of last week. Kallanish assessed SAE grade 2-2.7mm thickness HRC at $555-560/t cfr Vietnam, unchanged on-week.
There are position cargoes of 8,000-10,000 tonnes of specified 2-2.5mm thickness SAE 1006 HRC at $550/t cfr lying at port since early November, some HCMC traders report. Customers were last heard to be giving bids for them at $540/t cfr.
Meanwhile, the export market for Vietnamese HRC has improved greatly. Export prices to the US have risen sharply over the past two weeks. Hoa Phat is heard to be aiming to export January shipments at $585-590/t fob. The mill has mostly fulfilled its export allocations, a Hanoi trader says. He notes the mill is selectively negotiating with certain customers.
Source:Kallanish
