Domestic rebar and billet demand in Vietnam has been lackluster given the strict lockdown in Ho Chi Minh City due to the COVID-19 pandemic, and this has led to the emergence of export opportunities, sources said.

          The listed price for standard CB400-V/CB500-V rebar of 12-25 mm diameter was Dong 15,800/kg ($694/mt) Sept. 7, ex-works Phu My actual weight, excluding value-added tax, according to a local mill source.

          The current lockdown in Ho Chi Minh City in Vietnam has been there since July 1, and has paused many economic activities amid coronavirus restrictions, said the local mill source. It has put domestic Vietnam steel sales under pressure, the source added.

          Some local market sources said that more economic activities could resume after Sept. 15 as that was the date Ho Chi Minh City was expected to relax social distancing restrictions.

          With selling pressure in Vietnam’s domestic market, some mills are seeking export opportunities for both rebar and billet.

          Several vessels of BS500 rebar have been booked by traders to the Hong Kong market for August and September shipment, sources said. Offers received were for November shipment on a CFR Hong Kong basis.

          Meanwhile, Chinese buyers have been actively importing billet from Vietnam, as the short shipping period continues to be a primary choice for most buyers amid the high freight rate and quarantine rules, said a trader.

--- Steel Business Briefing