Posted on 15 Jan 2024
The ASEAN billet import market remained firm last week, Kallanish notes. Suppliers did not react to the earlier downward price corrections in China, including for iron ore, and maintained their offers.
Offers for 5sp 130mm or 150mm blast furnace billet from ASEAN/China for March shipment are unchanged at $550/tonne cfr Manila, Philippine trading and buying sources say. “There are limited offers presently,” a Manila trader says. He and others note there was also induction furnace billet from Malaysia being offered at $527/t and $530/t cfr Manila last week.
“Iron ore is coming down a bit in China. It is possible blast furnace mills might lower billet prices next week. But things are tough because billet margins are squeezed or non-existent,” a buyer notes. He has not heard of anybody buying and adds: “Most buyers made their move to buy last month."
Another reroller says he has seen an offer for blast furnace billet at $545/t cfr, but adds that users are preferring to wait and see how the market develops. Kallanish assessed 5sp/ps or Q275 120/125/130mm square billet at $530-535/t cfr Manila, unchanged on-week.
Direct offers for 3sp billet from a Malaysian mill and Vietnamese mill are heard at $535/t fob and at $550/t fob respectively. An Indonesian blast furnace mill’s offer is heard at $530/t fob. The mill was offering at $550/t cfr Jakarta on Thursday, an Indonesian reroller says. “They [the mill] were willing to negotiate,” he adds.
Source:Kallanish
