The negative sentiments prevailing in the global steel market within past weeks have weighed on semi-finished export offers from Iran in particular. Consequently, a few tenders, both for slabs and billet have been closed at lower levels within the past week. However, following the recent bolstering in the scrap segment, Iranian suppliers are expected to adopt a more cautious stance in coming bookings.
Accordingly, SteelOrbis has learned of a fresh tender for 30,000 mt of steel billet closed by one of the main steel producers in Iran at $520/mt FOB BIK, for mid-March shipment. The CFR price is estimated to be at around $540-545/mt CFR, as the material is said to be destined to the MENA region, with an assessed freight rate at $20-25/mt. A few cargoes for ex-Iran billet have been sold at $515/mt FOB and slightly below, the sources report. Meanwhile, two weeks ago prices were settled largely in the range $535-540/mt FOB BIK, as SteelOrbis reported earlier.
The latest ex-Iran slab tender for 30,000 mt was closed this week at $582/mt FOB BIK, down more than $30/mt over two weeks. As the material is said to be destined for Asia, the price corresponds to about $614/mt on CFR basis, adding freight costs.