The production cost spread between Southeast Asia’s electric arc furnace and blast furnace billet is expected to widen for the fourth consecutive month in April, according to estimates from Platts, part of S&P Global Energy.

The spread between the average cost per metric ton of billet produced by EAF steelmakers and that of the BF-converter route is anticipated to widen from $81 in March to $84 in April, according to Platts estimates.

Estimates for April are based on March raw material prices for delivery one month forward, accounting for 10% scrap usage in the BF-converter route and 100% scrap usage in the EAF route.

The EAF calculation assumes a scrap yield of 89%. The per-metric-ton cost to produce billet via the BF-converter route is estimated at $452/mt for April, up $15/mt month over month, while EAF steelmakers are expected to see a cost of $536/mt, up $18/mt over the same period.

Platts assessed the average seaborne pulverized coal injection price on a CFR China basis at $131.39/mt in March, up from an average of $122.64/mt in February, and the average seaborne 62/60 met coke price on an FOB China basis at $218.95/mt in March, down from an average of $220.50/mt in February.

The March average price for Platts iron ore increased to $106.38/dmt from $99.06/dmt in February.

Meanwhile, the ferrous scrap HMS 1/2 80:20 grade price on a CFR Taiwan basis rose $15.69/mt month over month to an average of $334.41/mt in March, while the average HRS101 price rose $18.68/mt to $382.18/mt over the same period, Platts data showed.

Platts assessed 5SP 130 mm billet stable day over day at $494/mt CFR Southeast Asia on April 6, while Chinese export 3SP 150 mm billet was assessed up $1/mt day over day at $460/mt FOB China.