Over the past two weeks, ex-CIS pig iron offers have decreased by $10/mt on the lower end and by $5/mt on the upper end to $380-395/mt FOB amid weak demand. Early last week, trading activity in export markets slowed down as most of the markets were closed due to the Labor Day holiday. However, it seems that activity in the markets still has not recorded a significant recovery following the holiday.
Meanwhile, buyers in the US pig iron market, where demand for ex-CIS pig iron is strong, have completed their bookings for May shipments, while a deal for ex-CIS pig iron in the US has been heard at $410/mt CFR New Orleans. Market sources state that US buyers’ interest in ex-CIS pig iron is at decent levels and they are likely to start pig iron bookings for June deliveries in the coming days.
According to market sources, demand for ex-CIS pig iron in Turkey has almost come to a halt. On the other hand, demand for ex-CIS pig iron in Italy has not accelerated yet, while price offers during negotiations are approaching $390/mt CFR. As Turkish steel mills resume their import scrap bookings and as import scrap prices in Turkey move upwards in the coming days, demand for ex-CIS pig iron in Turkey is also likely to recover and ex-CIS pig iron offers to the export markets are expected to increase slightly.