Chinese billet prices continued to rise Aug. 19, hitting a one-year high, on fresh deals done for Vietnamese cargoes.
In the Asian rebar market, prices were steady and traders tried to collect deals in Hong Kong for Turkish rebar.
S&P Global Platts assessed the China 5SP 150 mm square bar spot price up $3/mt from day on day at a midpoint of $436/mt FOB China on Aug. 19 -- the highest level since Jan. 29, 2019, data showed.
Platts assessed Southeast Asia 5SP 130 mm billet spot price at a midpoint of $435/mt CFR Manila on Aug. 19, up $2/mt on the day.
In China, buyers caught up with deals concluded at higher prices, despite the fall in spot and rebar futures, due to rising billet costs of steel mills amid soaring iron ore prices.
Two Vietnamese billet cargoes were heard sold recently.
One deal for a 20,000-mt cargo of Vietnamese 5SP 150mm material was concluded at $443/mt CFR China for October shipment, said several market sources. This deal price was high as it contained high manganese, a trader said.
Another deal for 20,000 mt of Vietnamese material was sold at $438/mt CFR China, for normal quality, said two China-based traders.
The deals were equivalent to $435-$437/mt CFR China, after normalization for origin and quantity to Platts assessment standards.
- Analyst Joy Zhuo, Analyst Chelsea Ye, Samuel Chin
Source : Steel Business Briefing
