FOB China HRC
The index fell by $6/t yesterday (17.8.21) to US$925/t, MTD US$928.36/t.
The National Development and Reform Commission said that nine provinces including eastern China’s Jiangsu province showed increasing energy consumption in the first half year, and these regions were asked to make more enforceable measures to meet the energy consumption reduction goal for the year.
Some mills and traders cut offers to induce buying as Chinese domestic prices remain far below export price levels. The domestic selling prices for coils are around $60/t lower than the mainstream export offers from mills. An east China mill cut offer by $20/t to $980/t fob for SS400 HRC, while another north China mill offered at $960/t fob. Other major Chinese mills kept offers unchanged at $980-1,000/t fob or stopped quoting given limited export allocation and uncertain Chinese steel export policy. (Argus)
Turkish Scrap
Baltic, UK, Benelux recyclers look for sales
Further downside expected in near term
Turkish Deepsea import ferrous scrap prices continued to soften, as a fresh Venezuela-origin booking was heard, sources said.
S&P Global Platts assessed Turkish imports of premium heavy melting scrap 1/2 (80:20) Aug. 17 at $453/mt CFR, down $2/mt on the day.
A Venezuela-origin cargo totalling 25,000 mt was booked Aug. 16 by an Izmir mill, with 25,000 mt HMS 1/2 (80:20) at $449/mt CFR. The deal was confirmed by the sell side for second-half September shipment, and was normalized to $453-$455/mt CFR for premium HMS 1/2 (80:20).
“I hope [it’s the price bottom] but it’s unlikely as everybody needs sales,” a Turkish agent source said. “Only bids will tell the reality.” A Turkish trading source cited an indicative tradable value for premium HMS 1/2 (80:20) at $452-$453/mt CFR, with $450/mt CFR likely to be workable in the near term. (Platts)
US HRC
The S&P Global Platts TSI US hot-rolled coil index was calculated at $1,900/st EXW Indiana August 17, down $1.50 from August 16.
A Midwest mill source reported small-sized transactions at $1,900-$1,930/st for October production. A service centre source, meanwhile, said he would bid at $1,880/st for 500 st of October production. (Platts)
| Indices | Price | Change | MTD |
| Platts TSI HMS 1/2 80:20 CFR Turkey ($/mt) | 453.00 | -2.00 | 459.35 |
| Steel Rebar FOB Turkey ($/mt) | 690.00 | -2.50 | 698.88 |
| Argus HRC NW Europe (€/mt) | 1144.00 | 0.00 | 1146.19 |
| Argus FOB China HRC ($/mt) | 925.00 | -6.00 | 928.36 |
| LME HRC FOB TIANJIN CHINA USD/mt | LME HMS 80:20 CFR TK | |||||||
| Bid | Ask | Value | Bid | Ask | Value | |||
| Aug-21 | 925 | 935 | 930 | Aug-21 | 455 | 465 | 460 | |
| Sep-21 | 935 | 945 | 940 | Sep-21 | 460 | 470 | 465 | |
| Oct-21 | 935 | 945 | 940 | Oct-21 | 467 | 477 | 472 | |
| Nov-21 | 935 | 945 | 940 | Nov-21 | 467 | 477 | 472 | |
| Q4-21 | 934 | 944 | 939 | Q4-21 | 468 | 478 | 470 | |
| Q1-22 | 915 | 925 | 920 | Q1-22 | 465 | 475 | 470 | |
| LME REBAR FOB TK | BUSHELING | |||||||
| Bid | Ask | Value | Bid | Ask | Value | |||
| Aug-21 | 677 | 687 | 682 | Sep-21 | 637 | 647 | 642 | |
| Sep-21 | 700 | 710 | 705 | Oct-21 | 642 | 652 | 647 | |
| Oct-21 | 700 | 710 | 705 | Nov-21 | 640 | 650 | 645 | |
| Nov-21 | 700 | 710 | 705 | Dec-21 | 640 | 650 | 645 | |
| Q4-21 | 700 | 710 | 705 | Q1-22 | 640 | 650 | 645 | |
| Q1-22 | 675 | 685 | 680 | Q2-22 | 648 | 658 | 653 | |
| US HRC USD/short ton | NWE HRC EUR/metric ton | |||||||
| Bid | Ask | Value | Bid | Ask | Value | |||
| Aug-21 | 1880 | 1890 | 1885 | Aug-21 | 1144 | 1154 | 1149 | |
| Sep-21 | 1922 | 1932 | 1927 | Sep-21 | 1119 | 1129 | 1124 | |
| Oct-21 | 1835 | 1845 | 1840 | Oct-21 | 1105 | 1115 | 1110 | |
| Nov-21 | 1744 | 1754 | 1749 | Nov-21 | 1052 | 1062 | 1057 | |
| Q4-21 | 1747 | 1757 | 1752 | Q4-21 | 1063 | 1073 | 1068 | |
| Q1-22 | 1558 | 1568 | 1563 | Q1-22 | 958 | 968 | 963 | |