Chinese imported billet prices gained sharply Sept. 9, in line with rising rebar futures, as fresh deals concluded higher amid market talks of production cuts in Jiangsu to meet green energy requirements.

          Billet physical prices jumped on expectations of tighter supply due to green energy projects in Jiangsu, in a bid to cut unit and total electricity consumption, said a northern Chinese trader. “Output for electric arc furnace mills are impacted significantly,” he added.

          Sharp decline in rebar inventories also fueled bullish sentiment, said another Chinese trader.

          The most actively traded rebar contract on the Shanghai Futures Exchange -- January -- closed at Yuan 5,682/mt ($880/mt), up Yuan 230/mt, or 4.2%.

          Tangshan Q235 billet was assessed at Yuan 5,350/mt, up Yuan 145/mt.

          S&P Global Platts assessed China-imported 3SP 150 mm spot billet at a midpoint of $717/mt CFR China, up $18/mt on the day, a new high since Aug. 2. Platts assessed Southeast Asia 5SP 130 mm spot billet at $704/mt CFR Manila, up $12/mt on the day.

          In China, several deals were reported concluded higher for various origins, including Indonesian, Russian.

          Deals at $710-$715/mt CFR China was concluded Sept. 9 for Indonesian billet around noon time, up $5-$10/mt on the day. The mill lifted offer to $730/mt CFR China afterwards, said eastern Chinese traders.

          A Russian deal was concluded at $705/mt CFR China for 50,000 mt, up $15/mt for deal with quantity over 30,000 mt.

          Prevailing offers were at $720-$725/mt CFR China. Buying indication or bids reached $715/mt CFR China.

          In the Philippines, Vietnamese induction furnace material was offered at $705-$710/mt CFR Manila, said a Vietnamese mill source, up $15/mt on the day.

-- Steel Business Briefing