Billet
Steel billet market was downward during last week in Iran. Domestic
billet size 125 mm declined by USD 13/mt to USD 347/mt ex-work including VAT
and size 150 mm was down by USD 10.5/mt to USD 352/mt.
During first half of the week, Khouzestan Steel co and Khorasan
Steel co billet were offered at respectively USD 368/mt and USD 370/mt ex-work
including VAT.
Main reason behind this downward trend was long products market
quiet sentiment and rumors about possible declines at IME in coming days.
Long Products
Debar price was downward during week 03rd 2017 in Iran.
Market depression has forced many mills cut production significantly.
I-beam market experienced some fluctuations during the week and
finally improved a little but debar traders were looking for customer.
Angle and channel were also
declining as in some case downward trend was up to USD 13/mt.
Construction and property market is facing an unheard quietness.
Steel industry is not in a good condition with such a high investment level and
depression.
Flat Products
HRC 2 mm thickness experienced around USD 13/mt improvement during
last week due to supply stoppage from Guilan Steel Co. Its price reached USD
599/mt on truck in Anzali including 9% VAT and custom duty. HRC import level
has been downward from 4 months ago due to lack of offers from CIS and high
prices from Far East suppliers. It has declined from 178,000 tones 4 months ago
to around 104,000 tones in last Iranian month. Ex-rate was downward through
last week, but limited import level made prices up. Besides, limited supply of
pipe and profile has made HRC demand down.
Price of HRC 2.5-6 mm thickness rose by around USD 5/mt because of
supply shortage. Thicknesses 6-15 mm was up due to limited supply and size 12
mm was almost scarce. For size 15 mm or higher Oxin co product was being
offered and made any possible improvement unlikely.
CRC average price dropped by USD 8/mt last week. Higher
import level during last month compared to previous months and higher domestic
supply made market buying interest lower and prices declined. Buyers expect
getting better discounts in coming days.
HDG market condition didn’t change. It was quiet and
both supply and demand low.
Ex-rate:
In free market: Rials 38.080 /1USD
22 Jan 2017
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Iran Steel Service Center
IFNAA News Agency
http://www.ifnaa.ir/en/home