Low demand for bar section for construction leads to a further decrease in quotations for square billet and debar.

 

Over the reporting period, quotations for long steel in key areas has continued to decline. Moreover, the process speeded up due to the reduction in steel scrap price in the US, European Union, Southeast Asia and Turkey.

Consumers of bar section and billet expect further reduction in quotations for Chinese products and, according to preliminary data, it answers expectations. Anyway, at the end of the holiday week in China, exports of Chinese fittings to South-East Asia is reported to be 263-265 dollars per tonne, on the terms of FOB, $ 5-10 lower than at the end of September.

In early October, key steel companies from Turkey mostly refrained from buying billet in expectation of new proposals from Chinese suppliers and relying on the price of $270 per tonne, on the terms of CFR. For comparison, in September the similar products were quoted for the Turkish market at the range of $275-280 per tonne, CFR. Ukrainian producers of semi-finished products made pinpoint sales in Turkey and countries in North Africa, but the majority of their products in the coming months have not been yet contracted. Turkish companies insist on lowering the price down to 260-265 dollars per tonne, FOB, while export quotations of suppliers from the CIS countries are still at the range of $270-280 dollars per tonne, FOB

Tags:Metallurgical complex