Billet
Billet market was downward following a week ago market sadness. Billet size 125 mm from domestic producer was offered at Rials16.9 -17.1 million /mt by beginning the week and finished it at Rials16.4-16.5 million/mt. Size 150 mm from import market dropped from Rilas18.1 million/mt to Rials 17.7million /mt on truck in Anzali including 8% VAT and custom duty. Also there was no seller in the market.
Price of billet size 150 mm from domestic producer Khouzestan steel declined from Rilas17.5 million/mt to Rials16.9million/mt but there was no interest in buying.
Market participants believe that billet price have still space for more decline as billet and scrap price gap is high and billet price would decline more.
Dometic producers billet offers at Rials16.9-17.7 million/mt are cheap cargoes purchased last Iranian year. As long products market is downward and steel market in depression , billet price may be downward in coming days as we have a holiday in middle of the week.
Long products
Long products market experienced one of its quiet weeks in current Iranian year. Debar price was downward on daily basis during last week. Domestic production debar size 10-32 mm was averagely Rilas19.1 million/mt by beginning of the week and finished the week at Rials18.8million/mt.
I-beam size 14-18 mm from Esfahan Steel Co dropped from Rilas 18.18 million/mt to Rilas17.8million/mt but still no buyer in the market.
Sections prices were also downward, just wide flange I-beam was slightly downward due to limited supply level.
Generally long products market is experiencing limited demand level and cheap purchased cargoes during last year do not let the market improves. This situation may lead to bankruptcies of many traders.
Long products prices dropped by Rials1-1.2 million /mt during previous 2 weeks which is a big decline.
Flat products
HRC 2 mm thickness was offered at Rials 20.7million/mt on truck in Anzali including 8% VAT and custom duties by beginning of the week but finished the week at Rials700,000/mt lower. Other sizes of HRC were down by Rials300,000/mt. Flat products inventory level is limited and also demand is scarce too.
HRP products were also downward during last week by Rials400,000/mt. There is no confidence in the market and many traders are cautiously checking market situation.
CRC market was quiet; two reasons are behind this sadness including lower ex-rate and supply level.
During last week import supply level improved and Mobarakeh Steel Co supply level increased. As supply level improved buyers became more cautious and tried to buy as limited as possible.
HDG price also dropped during last week in Iran. Domestic supply level increased and made price downward. Any change in the market is unlikely in coming days.
Ex-rate:
In Exchange Room: Rials 25,521/USD
In free market: Rials 32,900/USD
Iran Steel Service Center