Posted on 23 Apr 2025
India was heard eyeing hot-rolled coil offers from China, after several months of no buyer interest, Kallanish learns from sources.
According to sources, a domestic buyer was heard concluding a HRC deal at around $483-485/tonne cfr Indian ports, at Paradip port and another at Kandla port, for two parcels totalling 35-40,000 tonnes, from a non-BIS Chinese mill, for SAE1006 grades, June/July shipment.
Another non-BIS China-origin HRC booking was heard done by another Indian buyer, at around $505-507/t cfr Indian ports for vessel load quantity of 20-25,000t, for re-rolling SAE1006, June/July shipment. Sources note the pricing is higher due to booking certain thinner grades.
Another non-BIS Chinese HRC booking was heard at around $500/t cfr Kandla port, 4-5,000t, SAE1006 base re-rolling grades, June/July shipment.
Sources say the bookings were made against an advance license, which allows buyers to re-export their final product, and therefore do not incur the 7.5% basic customs duty faced by non-FTA countries such as China, or the 12% safeguard duty.
Last week, some sources expected Chinese offers may arrive at Indian shores amid the US tariff negotiations with multiple trading partners and lower Chinese export prices. (see Kallanish passim).
China’s BIS licences expired in November 2024 and have not yet been renewed. This restricts Indian mills importing from China, however non-BIS Chinese mill restrictions do not impact buyers with advance licenses, as it is all re-exported and considered as a free trade.
A South Korean-origin HR plate mill plates (PMP) plate import offer was heard at $695/t cfr Indian ports for S355/E350C grades, June/July shipments. Last heard South Korean-origin HR plate offers were at $710/t cfr Mumbai for S355J2 + N grades.
India has an FTA with Japan, South Korea, ASEAN, Vietnam and others.
On the evening of 21 April, Indian finance ministry's revenue department imposed the 12% safeguard duty on five flat steel products for 200 days, effective immediately (see separate article).
Source:Kallanish
