Chinese Wire Rod Offers Surge Further

SteelMint's price assessement showed further surge in Chinese wire rod offers for domestic by USD 18-29/MT & export offers by USD 10-15/MT in a week duration.

The fresh Chinese wire rod export offers for Chromium added mesh quality are hovering at USD 560-570/MT FoB main port against last week at USD 550-555/MT.

In spot market the offers rose by RMB 190/MT (USD 29) in East China-Shanghai with current offers at RMB 4310/MT. Further, in North China-Beijing the offers are evaluated at RMB 4,520/MT; increase by RMB 120/MT (USD 18), W-o-W.

As per the trade participants, the rise in the offers is due to the supply crunch for billet owing to closure of the substandard mills on increased pollution level.

However, CIS Exporters have maintained offers at same levels in a week ago at USD 550-560/MT. The demand is stagnant owing to higher offer as buyers opt to wait and watch.

Meanwhile, South East Asian import prices grew by USD 30/MT to USD 565-570/MT against last week trade offers of USD 535-440/MT.

India

Wire rod offers in Indian domestic market also on higher end owing to strong billet offers in the country. The domestic offers in East region - Durgapur are assessed around USD 480-485/MT (INR 30,700-31,000) & in Central India-Raipur at USD 507-510/MT (INR 32,500-32,700). The price are ex-works, excluding of GST at 18% and for commercial grade material.

The last export tender by RINL (also known as Vizag Steel) has concluded around USD 520/MT FoB India for 16,000 MT. The deal was concluded with offers up by USD 20/MT against the last tender by the same plant in July 2017.