Asian hot-rolled coil prices halted their uptrend on March 25 despite some optimism arising from indications that fresh US tariffs will not be as expansive as expected, due to weak demand and supply fundamentals.
Platts assessed SS400 HRC of 3 mm thickness unchanged day over day at $467/mt FOB China March 25. The same grade of coil was unchanged at $471/mt CFR Southeast Asia over the same period.
Export offers stood at $470-$500/mt FOB China, with most mills keeping offers unchanged day over day.
Mainstream mills were heard offering at $475-$500/mt FOB Bayuquan, down $5/mt from the best offer a week earlier. Sources said the relief brought by indications that Trump’s tariffs would likely be less broad than expected was not enough to support prices amid weak demand.
They added that buyers are also not following any price increases, especially ahead of the Eid holidays starting May 29.
“The price uptrend was fragile because it was driven by improved sentiment. When prices rise in China, buyers don’t follow, they go in wait-and-see mode,” a China-based trader said.
The most actively traded May contract on the Shanghai Futures Exchange closed at Yuan 3,386/mt March 25, down Yuan 10/mt, or 0.3% on the day.
Platts assessed the spot price of Q235B 5.75 mm HRC at Yuan 3,380/mt ($465/mt) ex-stock Shanghai, including value-added tax, unchanged on the day.
In Southeast Asia, offers for wider width Q235 coils were unchanged at $475-$480/mt CFR Vietnam, but buying interest was low.
A Vietnam-based trader attributed this to rumors that the Vietnamese authorities are looking to close a loophole in the temporary antidumping duty, which buyers have been circumventing by purchasing wider-width coils.
Wider-width Chinese SAE1006 coils were also heard offered in the market, but while there is no official offer, sellers have indicated that the tradable price for the material is $490/mt CFR, a second Vietnam-based trader said.
Malaysian SAE1006 coils were heard offered at $510/mt CFR Vietnam. There were talks of a deal concluded for 10,000 mt of Malaysian coils at $497-$498/mt CFR Vietnam, but both the said buyer and seller denied the deal.
Platts assessed SAE1006 HRC unchanged day over day at $484/mt FOB China March 25. The same grade of coil was assessed unchanged at $510/mt CFR Southeast Asia over the same period.
