Posted on 10 Jan 2025
Russian billet and long products exporters have begun assessing the market following the holidays, amid weak domestic demand during the winter season and a favourable exchange rate supporting exports, Kallanish notes.
Russia’s temporary export duty has expired as of 2025 and is no longer levied on mill exports, according to a trader referencing two producers. Mills are reported to be considering discounts against firm bids or orders in export markets.
“There are no clear indications yet, as today is the first working day, and many are still on vacation until 13 January,” notes a trader still currently on vacation.
Meanwhile, Turkey’s benchmark mill, Kardemir, sold 50,000 tonnes of billet in its domestic market at reduced prices of $490/t ex-works on Wednesday. "These prices correspond to $455-465/t cfr [Turkey] for [Russia-origin] imports, with freight to Turkish ports at $17-20/t," another trader explains.
Another trader mentions that Russian mills are offering billet at $445-450/t fob Novorossiysk and are open to considering firm bids, with small price reductions possible.
In Egypt, Russian mills have reportedly encountered better pricing. “The bids from Egypt are higher on an fob basis, than those from Turkey,” notes a trader.
In the longs segment, the offered price range for wire rod is at $505-515/t fob Black Sea for sales to Israel. For other destinations, depending on quantity and freight, prices could go to as low as $500/t fob or potentially lower. Offers for wire rod from Makiivka, in the Russian-occupied region of Ukraine, are at around $490-495/t fob.
Source:Kallanish
