One stop service for steel industry

Indian mills lower HRC offers to seal deal

[vc_row][vc_column][vc_column_text]Indian mills lower HRC offers to seal deal

Subdued European buying sentiment and lacklustre Indian domestic demand have made Indian mills drop hot rolled coil export offers this week. Lower quotes have nevertheless enabled Indian mills to close deals in regular market the Gulf Cooperation Council, sources inform Kallanish.

Initial offers for bulk quantities to Europe have dropped to $1,180-1,200/tonne cfr Europe, equating to $1,060-1,080/t fob India, depending on mill and port of origin. However, deals are heard being concluded at much lower prices. An Indian mill was heard selling 20,000 tonnes of structural grade HRC at $1,160-1,170/t cfr Italy last week. The same mill was heard concluding a deal for 10,000-12,000t of S235 and S355 grade HRC at €1,024/t ($1,109) cfr Italy and €1,055/t cfr Italy, respectively, on Friday or Saturday.

“Japanese HRC offers have also come down to $1,120/t cfr Europe, which has increased price pressure on Indian mills,” opines a senior trading source. “Prices may surge a bit in the coming days on the back of … hikes in raw materials this week.”

To secure deals, Indian mills have softened their offers in the GCC. Mills are heard offering HRC at $1,000-1,050/t cfr GCC, depending on grade, origin and destination ports. One supplier was heard concluding a deal for structural grade HRC at $950-960/t fob India, equating to $1,000/t cfr Sohar, to a pipemaker in Oman. Initial offers to Turkey are heard at $1,100/t cfr; however, buyers are uninterested, citing high offers against their bids at $1,030-1,040/t cfr Turkey.

India has also dropped its E250 grade HRC domestic quotes by INR 2,000/t ($26.25) on-week to INR 76,000-76,500/t ($1,028) ex-Mumbai. Offers for E350 and galvanized plain sheet are hiked to INR 79,000-79,500/t and INR 88,500-89,000/t ex-Mumbai, respectively.

“Indian offers are not getting support, neither from the domestic market nor from exports,” explains a senior trader. “Offers are expected to go down further, as demand is not expected to rise in any of the markets in the coming days.”

India opportunistically hiked its HRC offers last month amid Russia’s invasion of Ukraine; however, after concluding a few large-tonnage deals, sentiment turned down for Indian material. This also coincides with weak demand in the Indian domestic market, which prevented mills from reflecting high export offers domestically.

In the coming weeks, mills are also expected to resume offering HRC to Vietnam. Although coking coal offers have surged again, mills will try to average out the high-priced coking coal with low-priced material bought from Russia, to be able to offer finished steel at a competitive price.[/vc_column_text][/vc_column][/vc_row][vc_row][vc_column][vc_btn title=”About LMM GROUP” link=”url:https%3A%2F%2Fwww.lmmgroupcn.com%2Fabout-lmm%2F|target:_blank”][vc_column_text css=”.vc_custom_1649296177864{margin-top: 50px !important;}”]friendship Link:

LMM Totai Refractory, LMM Mill ROLLS, LMM CCM, LMM Mechanical Equipment, Intelligent industry, STEEL Metallurgy Industry[/vc_column_text][/vc_column][/vc_row]

Facebook
Twitter
LinkedIn
Reddit

As professional one-stop solution provider, LIAONING MINERAL & METALLURGY GROUP CO., LTD(LMM GROUP) Established in 2007, and focus on engineering research & design, production & delivery, technology transfer, installation & commissioning, construction & building, operation & management for iron, steel & metallurgical industries globally. 

Our product  have been supplied to world’s top steel manufacturer Arcelormittal, TATA Steel, EZZ steel etc. We do OEM for Concast and Danieli for a long time.

LMM Main product series

Core technology products:

  • magnesia carbon brick
  • slide gate plate
  • graphite electrode

Core technology products:

  • Hss roller
  • cast steel rolls
  • tungten carbide ring roller

Core technology products:

  • copper mould tube
  • copper mould plate
  • assembly & cooling jackts

Need For Some Help ?

Professional engineers provide solutions and technical drawings

phone

86(411) 84174804

mail

lmme-business@lmmgroup.com.cn

Special product design, please send specific data and drawings to our mailbox or form.

Get A Free Consultation
And Estimate