Billet
Billet price
remained stable during last week in Iran. Average price of sizes 150 and 125 mm
changed from USD 350/mt ex-work including 9% VAT to USD 348/mt by end of the
week, which was relatively stable due to some factors including:
1- First, market
quiet situation due to the religious observance of Arbaeen coming.
2- Second, demand
has reached its bottom.
3- Third, price is
also at the bottom and has no more space to decline.
So the market will remain
in wait and see approach until after Arbaeen (next Saturday).
With a 25%
duty rate for iron ore export from Iran, export attractiveness of the product
will decrease but its impact will not be quickly reflected in the market as iron
ore exporters like slab, billet and other steel products suppliers have closed sales
for the next three months. Therefore, availability of pellet has been very poor
and its base price has increased to about USD 98 /mt , as well as DRI being
priced at USD 184 -185/mt ex-work excluding VAT.
Long
Products
Price
of rebar was down slowly over the past week in Iran. Average price of diameters
8 to 32 mm, which was USD 390/mt on Saturday, reached to USD 388/mt ex-work
including 9% VAT on Wednesday. Such fluctuation was something natural due to
upcoming Religious Holiday and market’s lack of activity. Besides, it would be
noted that debar price has reached the bottom in Iran and has no more space to
decline based on current billet market trend.
The
average price of I-beam size 14-18, which was USD 443/mt on Saturday, reached USD
442/mt ex-work including 9% VAT on last Wednesday, with its market still under
control of Isfahan Steel co.
Flat
Products
Price of Mobarkeh
steel co HRC 2 mm thickness in Isfahan reduced a little during last week from
USD 494/mt to USD 489/mt on Wednesday and in Ahwaz, Rolling and Pipe co.’s
product price fell by USD 9/mt to reach
USD 475/mt. Whatever market demand is, lower slab price has made HRC price
downward.
HRC thickness of 3
to 15 mm of Mobarkeh steel co which was USD 500/mt last Saturday, increased to USD
503/mt on Wednesday.
Oxin co HRP
thickness 10-40 mm, with an average price of USD 495/mt on last Saturday, reduced
to USD 494/mt on Wednesday, due to transportation restrictions in Khuzestan
province. However, supply of Oxin co products is gradually decreasing in the
market. The problem of ST52 quality shortage is still badly felt in the market and it
is unlikely to be resolved within next two weeks although we have seen limited
supply of this product over the past week. Kavian co HRC thickness 12 to 25mm
was offered in the market last week, with its price almost stable throughout
the week. It just changed from USD 481/mt to USD 483/mt.
CRC thickness 0.40
to 2 mm of Mobarkeh Steel co products did not change significantly and rose
from USD 658/mt to USD 656/mt. Supply of thicknesses over 0.90 mm was effective
in reducing the price of this product.
HDG price was downward
and the average price dropped from USD 730/mt to USD 713/mt. Its market is
still quiet.
-----------------------------
CBI
weekly average ex-rate for Steel Products (SANA): Rials 107.325 / 1USD
14 Oct,
2019
----------------------------------------------
Iran
Steel News Bulletin