Export prices for cold-rolled coil and hot-dipped galvanized coil in China increased in the week to Tuesday July 20, after domestic prices pushed up ahead of an expected drop in the country's steel output in the second half of the year, sources told Fastmarkets.
Iron ore prices fell on Wednesday July 21 due to steel production cuts in some Chinese provinces for the second half of 2021, sources said.
Export prices for steel hot-rolled coil products from the Commonwealth of Independent States region were stable over the week to Monday July 19 with deal prices almost unchanged from the previous week.
Steel billet buyers across Asia are facing a raft of expensive offers following frenetic buying activity among Chinese customers last week, sources told Fastmarkets on Monday July 19.
In recent days, we have witnessed a doubling of steel supplies in a situation where demand in the steel market has approached zero. Except for a few large state-owned companies, there is no news of order registration in the commodity exchange. The free steel market is also experiencing a worse situation. The deep recession in construction is the main cause of this crisis in the steel industry.
Statistics of the Iranian Steel Association show that despite the sluggish market in the domestic market, the export situation is favorable. In June, Iran's major steelmakers managed to export 916,000 tons of ingots and steel products, which has a jump of 104% annually. Of course, the domestic market must also be energized to start again.
Recently, the Parliamentary Industry Commission decided to include tax exemptions for some downstream steel industries. This position has been taken with the aim of monetizing
The 128 percent growth of Iran's steel exports is an issue that has attracted the attention of many market participants in the last month. Khuzestan Steel is unique in the production and export of steel and owes this to the change in engineering methods of production processes and pure thinking. Power outages, however, in the current situation is the biggest risk and obstacle in the path of Iranian steel production.
Overnight steel production has been a topic of discussion since late last week and was officially approved after the Ministry of Energy issued a circular in cooperation with the Ministry of Silence. Rollers, who are going through the toughest conditions in the steel market these days, were a little happy about this and the production hopes in this group increased. It remains to be seen how the market will react to this issue.
Prices in the Commonwealth of Independent States export billet market were largely unchanged during the week to Friday July 16 with various factors influencing the market.