Posted on 29 Aug 2024
Vietnam’s Formosa Ha Tinh Steel (FHS) has lowered its monthly prices for hot rolled coil for October shipment, Kallanish understands. The mill was compelled to do this because it lacked sufficient orders amid a lacklustre and competitive market, Vietnamese market sources say.
The mill’s HRC price for large purchases of 20,000 tonnes and more was lowered on Monday by $17/tonne from $528/t (VND 13,310/kg) to $511/t. Its prices for tonnages of 500-19,999t were also reduced on that day to $514-520/t.
The mill previously announced, on 15 August, its October-shipment SAE 1006/SS400 HRC prices at $531-540/t for purchases of 2,000-19,999t. The mill closed its offer at the revised prices on Tuesday.
FHS was forced to lower prices because buying interest for its original offered prices was very thin. “Even after Monday’s lowered prices, rerollers wanted more discount,” a Hanoi trader notes.
“Their [FHS] published price was too high compared to first-tier mills, even those from Japan and Korea,” a Vietnamese mill source says. He hears SAE 1006 HRC from Japan and Korea is pegged at only $508-510/t cfr Vietnam and only large-volume Vietnamese buyers are eligible for the latest $511/t cfr price from FHS. “They [FHS] also lost the Indian market now that the new AD investigation has been launched against Vietnamese HRC,” he adds.
Source:Kallanish
