As long products market is quiet in Iran, billet has no demand too. Last week billet price was slowed down to $510/t for Iranian northern port at Caspian Sea including 3% VAT, and few transactions were done at $500invluding VAT. Rumors about new sanctions against Iran made prices improve a little and reached $520/t by the end of the week. But there is almost no demand in the market yet. Possible decrease in global prices and shortage of demand in sections market has lead to heavy decreases in billet price recently and it won''t improve in near future.
Imported material is offered $470/t cfr northern Iranian ports but buyers are asking under $450/t.
At the moment market sentiment is pessimistic, though importers would prefer to take no risk and stop importing or buying from domestic market in coming months. Iranian traders mostly have chosen wait and watch policy.
From beginning of the last week, long products prices were falling in Iran market. For some sizes of rebar and I-beam, market price was lower than purchased price from Isfahan Steel mill. Meanwhile demand is so limited and as future sentiment is so pessimistic, many traders prefer to destock their inventories at any low price.
News regarding more possible sanctions against Iran stabilizes falling prices a little on Tuesday, but buying interest was still limited. By the weekend, most traders stopped offering and prices didn''t change.
Current price of CIS origin rebar is $530-550/t cfr Iranian northern ports. But suppliers can''t find any buyer at these levels. At the moment domestic price for rebar is so cheap that there is no interest for import.
Flat products prices started last week with a down ward trend in Iran but on Monday prices became stable. In last 4 months, especially in current Iranian month limited quantity of flat products was imported to Iran. Some sizes of CRC are scarce in the market especially high quality materials, because Mobarake Steel mill stopped supplying in the market.
Last week Mobarake Steel didn''t offer at Tehran Mercantile Exchange, so falling prices became almost stable at the end of the week, some materials experience increases in their price in Iran Market. Meanwhile flat products prices in global markets are falling or don''t change currently so upward trend is volatile.
Hot rolled coil 2 mm tick is offered for $530/t in northern port at Caspian Sea including 3% VAT, up around $10/t comparing with a week ago. In the import market, $550-560/t cfr northern ports are being offered.
CRC price didn''t change last week but no interest to buy. Its import price didn''t change comparing with a week ago and was about $645/t cfr.
Hot dip galvanized coil of 0.70 mm and higher thickness has so limited inventory. Its price increased around $10/t comparing with a week ago but no activity in the market.
It''s expected that price of HRC 2 mm thick and CRC 0.60 mm or higher will improve in the coming week.
Iran Steel Service Center