Import billet prices in Asia have continued to gradually improve amid the positive situation in China. Russian suppliers have managed to sell at higher prices in the Asian region as well, as there has been a lack of cheaper options for buyers with the limited availability of Iranian supply.
The latest deals for ex-Far East Russian billet have been reported at $520-525/mt CFR for February-early Marsh shipment, up by $5/mt from the previous offers reported last week and far above a deal at $510/mt CFR done around two weeks ago. Another mill based in Russia’s Far East region is still targeting sales to the Philippines, but has increased the targeted price by $5/mt to $530/mt CFR.
Since demand for imported billets in Southeast Asia has not improved much lately, the main reason behind the higher ex-Russia prices in Asia has been the lack of cheaper options, in particular, from Iran. “Iranian offers are also limited in the region [similar to January shipment ASEAN offers]. Traders are sold out and mills [from Iran] have less allocation,” an Asian trader said. The latest offers for ex-Iran billet have been at $510-515/mt CFR to Indonesia, but no new offers have been reported this week.
The SteelOrbis reference price for imported billet in Southeast Asia has remained at last week’s level of $530/mt CFR so far. In the Philippines, a deal for ex-Vietnam IF billet was done at $524/mt CFR late last week, while the previous bookings for EAF/BOF ASEAN billets were reported at $530/mt CFR. The usual difference between IF and EAF/BOF billets in the region is $5-10/mt.