Billet
Average price of billet, which was USD 497/mt ex-work
including 9% VAT on last Saturday, reached USD 541/mt on Tuesday. With the
negotiations that took place, promises were made that steel prices would fall,
so the market sat in the hope of lowering prices. Despite the fact that billet was
offered at IME on Tuesday, long products were traded at a lower price, which
caused a psychological atmosphere in the market so that everyone would expect
prices to fall.
Iran steel market is being influenced by following
factors:
The first is the exchange rate, which is the basis for
determining the Rials price of export billet.
Second, the price of export billet FOB Iranian ports,
which has been increasing over the past week, by at least $ 10 per ton. Third,
the stock exchange index and the role of steel stocks value in this market.
Long
Products
The average price of rebar was USD 548/mt on last Saturday and had an
upward trend until Tuesday, but on Wednesday the price decreased to USD 589/mt ex-work
including 9% VAT due to offers at IME and governments tries. I-beam size 14,16,18 changed from USD 671/mt
to USD 739/mt until Tuesday, but dropped to USD 729/mt by Wednesday.
Flat
Products
HRC 2 mm thickness was announced on last Saturday in Esfahan market at
USD 872 /mt, which reached USD 964/mt by end of the week. HRC thickness 3 to 15
mm were priced at USD 724 /mt on Saturday and reached USD 819 /mt on Tuesday,
but on Wednesday the price dropped to USD 814/mt with the atmosphere that calmed the market.
The cancellation of Mobarakeh Steel co trading at IME made market collapsed,
which motivated the view that prices would rise again in coming days.
Oxin co HRP went through the same trend. Average price of sizes 10 to
40 mm, which was USD 802/mt on Saturday, reached USD 825/mt on Tuesday, and
decreased to USD 813/mt on Wednesday. Kavian Co HRP thickness 15- 25 mm were
priced at USD 726/mt, which maintained its upward trend and reached USD 733 /mt
by end of the week.
The average price of 0.40 to 2.5 mm thickness CRC was USD1170/mt on
Saturday and reached USD 1237 /mt by Wednesday. HDG had the same trend as CRC. Its average
price for thicknesses 0.50 to 1.5 on last Saturday was USD 1175 /mt, which
reached USD 1220/mt by end of the week.
CBI
weekly average ex-rate for Steel Products (SANA): Rials 184.464 / 1USD
03 Aug 2020