Billet
Billet price was almost stable during last week in Iran. Esfahan Steel Co offered billet size 125 mm at IME for the first time and the deal was done at USD614 /mt ex-work excluding 6% VAT. Billet size 150 mm was priced at USD674 /mt on truck in Anzali including 6% VAT by Sunday but finished the week at USD678 -680 /mt. Domestic production billet for size 150 mm was around USD682 /mt ex-work including VAT during last week in Iran. Size 125 mm was around USD654 - 662 /mt ex-work including VAT .
Generally, with sadness in long products market, billet transactions level was limited, mills preferred buying for one or two days needs.
Billet import level has been around 35,000 tones per month currently and any significant change in import level is unlikely due to the negative situation of domestic market.
Long products
Long products market was expecting a significant decline in prices during last week, but limited delivery level from Esfahan Steel Co didn''t let prices change. If supply level from the producer improve in coming weeks prices will drop but not more than USD12 /mt unless domestic mill decrease prices themselves.
Currently domestic mills prefer having direct negotiation with customers despite offering at IME as a direct negotiation would be finalized faster with better result.
Debar diameter 14-25 mm finished the week at USD738 - 742/mt ex-work including VAT in Esfahan. Price of debar diameter 14-32 mm improved by USD2 /mt to finished the week at USD726 /mt ex-work including VAT in Ahwaz. I-beam price improved a little till middle of the week and finished the week with a downward trend.
Flat products
Hot rolled coil with 2 mm thickness experienced a stable week at around USD 770/mt on truck in Anzali including 6% VAT. HRC sizes 2.5-10 mm from Mobarakeh Steel Co were also stable during the week. Price of HRP decreased around USD4 /mt by middle of the week as supply level from Kavian Co improved. Market is depressed and if supply level stops, prices won''t improve.
CRC market is in supply shortage as import level has dropped to 3,000 tones per month and domestic supply level is low. But demand level is limited too. The only chance for a better market is improvement is demand. Limited supply level has made some sizes of CRC increase by USD20 /mt .
HDG market is almost dead, demand level is low and some sizes are not available but prices stable.
(Ex-rate: In Exchange Room: Rials 24,919/USD)
Note: Prices have been converted from Rials to USD using exchange room rate as a base.
Iran Steel Service Center