Billet
Billet price was a little downward during last week in Iran. Billet size 150 mm in import market was stable at around Rials17.7 million /mt on truck in Anzali including 8% VAT as supply level was limited. In domestic market prices were stable due to lack of transactions. Market was almost dead because of middle of the week holiday.
Khouzestan Steel Co offered 10,000 tones of its billet at IME at Rials16.02 million /mt ex-work excluding 8% VAT, but just 3500 tones of it was sold. If the producer persists against any decline in price, market would be stable. Otherwise, market participants expect downward trend in prices.
Billet export level of khouzestan Steel co also can influence domestic market but seasonal demand in middle east markets is dropping as Holly month of Ramadan is near and there is competition between china and Russia in billet market.
Long products
Long products prices were stable during last week in Iran. Some sizes of debar experienced around Rilas100,000/mt decline, but generally debar market was quiet and almost stopped.
Some deals were done in I-beam market, but middle of the week holiday made market almost closed.
Market participants do not expect any serious move in coming days as we have long weekend this week. Though, they are waiting for a clear direction in coming week. Generally any significant change in market sentiment in coming weeks can’t be acceptable.
Flat Products
Hot rolled coil 2 mm thickness experienced downward trend last week and reached Rilas19.6 million/mt on truck in Anzali including 8% VAT. Sellers persisted against decline in prices and price was up by Rilas100,000/mt again. Demand level didn’t change.
There was no significant amount of demand in the HRC market and low supply level of domestic producer Mobarakeh Steel Co didn’t help market. HRP price dropped by Rilas100,000/mt and demand level was scarce.
In CRC market low supply still exists but demand level was limited too. Some sizes declined in price by Rilas200,000/mt during last week.
HDG market also experienced around Rilas200,000/mt decrease in price and any improvement in near future is unlikely.
Ex-rate:
In Exchange Room: Rials 25,580/USD
In free market: Rials 32,850/USD
Iran Steel Service Center