Billet
Billet market was slowly downward during last week in Iran, but finished the week slightly improved.
Price of billet size 150 mm from import market dropped by Rials200,000/mt to Rials17,700,000/mt on truck in Anzali including 8% VAT and custom duty. Domestic production billet size 150 mm was being offered at Rials 17,200,000-17,500,000/mt and size 120 mm at Rials 16,300,000/mt but finished the week at Rials 16,600,000/mt ex-works including 8% VAT.
Long products market negative sentiment has made billet market quiet. If long products prices improve, billet price may rise by Rials500,000/mt. Billet cargoes at warehouses which belong to cheap purchased cargoes 4 or 5 months ago at IME, are pressuring market sentiment.
Market participants do not expect billet price drop from current level in short time. Billet import level has reached less than 1,000 tones due to higher domestic production currently.
Long products
Long products were downward by first half of last week with market completely quiet. Average price of debar size 16-25 mm from domestic producer Esfahan Steel Co reached Rials18,400,000/mt ex-work including 8% VAT as cheap purchased cargoes from last year came to market. By Wednesday market sentiment was improved and prices were stable. This stability helped activities increased but of course with high cautious attitudes from buyers. By end of the week demand level improved a little but will help inventory levels decline.
Flat products
HRC 2 mm thickness dropped to Rials19,900,000/mt by middle of the week but improved by Rilas300,000/mt by end of the week on truck in Anzali including 8% VAT and custom duty. Other sizes were downward by Rials200,000/mt. HRP market was also sad and price declined by Rials100,000-200,000/mt due to competitions.
CRC market was silent, higher supply level made prices downward, but still some sizes are in low inventory.
HDG market is also lacking demand and inventory levels high. Some sizes are in low level but buyers can use alternative sizes.
Ex-rate:
In Exchange Room: Rials 25,543/USD
In free market: Rials 33,200/USD
Iran Steel Service Center