Billet
Billet price was
almost stable during last week in Iran. Average price of sizes 125 mm and 150
mm started the week at USD 884 /mt ex-work including 9% VAT and till Monday
last week reached USD 864/mt ex-work including 9% VAT. With improvement in
ex-rate billet price also rose to USD 909 /mt by end of the week.
Billet demand level
was at the bottom in Iran and transportation problems continued last week and
affected long products demand too. Therefore, lower demand in billet market was
not something strange.
long
products
Debar price started the week declining from USD 1079 /mt ex-work
including 9% VAT to USD 1053/mt for diameters 8-32 mm and then with higher
ex-rate, it rose to USD 1077/mt ex-work including 9% VAT. Two other reasons
behind improvement in debar price were solving the problem of transportation by
trucks by end of the week and the other reason was inventory levels.
Other long products had the same situation as debar with limited
fluctuations. I-beam size 14,16,18 rose by USD 24 /mt to USD 1095/mt ex-work
including 9% VAT.
Flat products
Imported HRC 2 mm thickness was sold at USD 1405 /mt on truck in
Anzali including 9% VAT by last Saturday and dropped by USD 48/mt till end of
the week. Domestic HRC improved by USD 48
/mt to USD 1286 /mt ex-work including 9% VAT during last week. As many sold
cargoes has not been transported yet, it is expected that market became calm in
near future. But as base price of slab at IME is USD 869 /mt , retail market
prices won’t drop significantly.
Oxin co HRP was downward as demand is
limited. As warehouses’ inventory is enough for current market demand, market
participants would resist against rising prices.
CRC market had a difficult week as demand
was so much low and made price of thicknesses 0.50-2.5 mm drop from USD 1711/mt
to USD 1677/mt ex-work including 9% VAT. By last Monday, Mobarakeh Steel co sold
10400 MTNS of its CRC at base price of USD 1197/mt at IME ( Iran Mercantile
Exchange) which there is a gap between the IME price and retail market. With
transportation problem being solved, this gap would decline. HDG market was almost stable with some sizes in limited supply. Mobarakeh
Steel co products is scarce in the market and other mills are satisfying market
needs.
-----------------------------
Official
Ex-rate (CBI):
Rials 42,000/1USD
Oct 15,
2018
----------------------------------------------
Iran
Steel News Bulletin