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    CIS LONG STEEL: Producers eye price increases amid rising raw materials costs

    شناسه : 55701 21 مهر 1400 - 9:30
    Long steel exporters from the Commonwealth of Independent States (CIS) are targeting higher prices amid rising international scrap prices, sources told Fastmarkets this week.
    CIS LONG STEEL: Producers eye price increases amid rising raw materials costs
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    Long steel exporters from the Commonwealth of Independent States (CIS) are targeting higher prices amid rising international scrap prices, sources told Fastmarkets this week.

    The recent rebound in scrap prices in Turkey and successive increases to long steel export prices there made CIS exporters follow suit and reconsider their pricing policies.

    Ukraine’s main long steel producer, ArcelorMittal Kryvyi Rih (AMKR), increased its rebar offer prices to $700-730 per tonne fob on Monday, up by $20 per tonne from a $680-710 per tonne a week earlier.

    Rebar producers from Russia, meanwhile, were largely staying away from the export market due to strong domestic demand,

    “Domestic rebar prices are higher, plus there is an export duty which makes external sales very complicated,” a trading source said.

    Rebar was on offer from Belarus at $680 per tonne fob, sources said.

    Buyers said the workable level for rebar exports was $680-690 per tonne fob.

    But some sources said buyers would eventually have to accept an increase.

    “Production costs are increasing sharply [and] it is now clear that the market direction is upwards,” one trader said.

    Fastmarkets’ weekly price assessment for steel reinforcing bar (rebar), export, fob Black Sea, CIS was set at $680-690 per tonne, widening from $680 per tonne fob last week.

    AMKR’s latest rebar offer price was received after the assessment publication deadline and was, therefore, not included in the Fastmarkets assessment.

    Fastmarkets’ weekly price assessment for steel wire rod (mesh quality), export, fob Black Sea, CIS was unchanged on Monday October 11, at $760-790 per tonne fob Black Sea.

    After the assessment was published, the information about offers from AMKR at $810-830 per tonne fob came to the light. This was up from last week’s $790-810 per tonne fob.

    An electric-arc furnace-based Russian mill was heard offering wire rod for export at $760-765 per tonne fob.

    Another Russian producer, Tula Steel, was not very active in the export market, citing good domestic demand. The producers said, that, considering the
    export duty, a workable wire rod price would be “no lower than $1,000 per tonne fob.”

    That level was considered too high by buyers, sources said.

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