Bangladeshi mills were in search of competitively priced material. But with prices nearing early January’s peak, trades were limited. Demand outlook remained positive amid the ongoing construction season.
Elevated container freight charges, with a likelihood of another hike in the coming days led to the withdrawal of some offers on the lower end of the spectrum.
The daily Dais Index for containerized shredded, Monday, settled at $488.21/mt cfr Chattogram, up by $4.28/mt from Friday. Small tonnages of UK/EU-origin containerized shredded traded at $485-490/mt cfr Chattogram. Some kept asking prices even at $495/mt cfr Chattogram on Monday.
Offers in the bulk market were firm, but some mills could resume negotiations to restock before prices move up further. Japanese suppliers offered #2 HMS at $470/mt cfr Chattogram, while US suppliers sought above $480-485/mt cfr Chattogram and focused on the Turkish market.
On Monday, Chinese domestic billet prices were at CNY4,270/mt ($661/mt) ex-Tangshan including VAT, down CNY30/mt from Friday. Chinese mills resumed billet imports at $595-600/mt cfr Southeast Asia.
The index for HMS 1&2 (80:20) from Latin America on Monday settled at $454/mt cfr Chattogram, up by $5/mt. Traders bought HMS 1&2 (90:10) in containers at $450-455/mt cfr Chattogram, with some yards even targeting $460-465/mt cfr Chattogram on Monday.
The daily Davis Index for US-origin containerized HMS 1&2 (80:20) settled at $460/mt cfr Chattogram, up by $6.79/mt. Indian Sponge iron export offers were at $410-415/mt cpt Benapole or $420-425/mt cfr Chattogram.
Domestic steel prices trend up
On short supply, ship scrap equivalent to P&S rose to BDT43,500-44,000/mt ex-yards. Ship plates of 16mm size traded at BDT49,500/mt ex-yards with some offers even at BDT50,000/mt ex-yards on Monday. Buyers opted for shipbreaking scrap for faster delivery time.
A lot of vessels booked earlier have arrived at Chattogram yards, which could keep domestic scrap supply ample in the coming days. But recyclers have gone silent as offers for scrapped vessels rose to $450-470/ldt.
Domestic billet prices were elevated and traded at BDT54,000-54,500/mt ex-works Chattogram on Monday.
Large steelmakers’ rebar asking rates rose to BDT67,500-68,000/mt ex-works. Mills canceled discounts amid rising imported scrap prices. Rebar from medium-scale mills in Dhaka rose in the range BDT63,500-64,000/mt ex-works. Small-scale mills offered rebar above BDT58,000-59,000/mt ex-works.