Posted on 22 Jan 2024
Vietnam’s hot rolled coil import market is lacklustre, Kallanish notes. Demand is sluggish and deals are limited, local trading sources say.
A Vietnamese trader/stockist is heard to have booked 20,000 tonnes of SAE 1006 2mm and up thickness HRC for March shipment from a Tier 1 Indian mill at $610-615/tonne cfr Ho Chi Minh City (HCMC) during the week ending 12 January. A Hanoi mill manager heard the order was larger, at 50,000t, spread over two weeks at this price level.
Last week, a small tonnage of SAE 1006 HRC from a small Chinese mill was booked at $590-595/t cfr Vietnam, a Chinese trader reports. Current offers for SAE 1006 HRC from popular Chinese mills are prevailing at $610/t cfr Vietnam. “There were fewer deals in the past week. Demand is slowing down with the approach of the Tet holiday [8-16 February],” a Hanoi trader notes.
The domestic market is similarly weak. Domestic producer Formosa Ha Tinh Steel (FHS) is heard by market participants to have given discounts of $10-15/t in order to secure sales with its larger customers. The mill’s non-skin passed SAE 1006 HRC for March/April shipment was set at around $647-655/t cif Vietnam on 12 January, with the lowest price of $647/t cfr applying to orders of 20,000t and more.
Kallanish assessed SAE grade 2-2.7mm thickness HRC at $590-600/t cfr Vietnam, down $2.5 on-week.
Meanwhile, offers for commercial quality 3-12mm thickness Q235 HRC rose slightly to $565/t cfr on Friday. Bookings took place at $560-562/t cfr earlier in the week. Transaction prices for Q235 HRC were higher at $566-568/t cfr during the week through 12 January.
Source:Kallanish
