Export billet prices from Iran dropped in the week to Wednesday August 18, following the global downtrend in the rebar market.
Demand for cargoes of steel billet has been low in key Southeast Asian markets over the past week with prices rangebound, sources told Fastmarkets on Friday August 13.
The global coke trade has been well received in recent days. Global demand for coal is still strong and supply remains limited. Delayed sales can be attractive to markets in the current situation.
The production rate of crude steel, final steel and base metals in the first 10 days of August decreased by about 9% compared to the same month last year. This is a decision planned by the World Iron and Steel Association of China. The Chinese steel market is expected to continue to gain momentum in August.
In July 1400, compared to June, billet and bloom production decreased by 42%, rebar production by 53%, sponge iron production by 42% and hot sheet production by 22%. The amount of hot plate production in the first 4 months of this year was 2 million 759 thousand tons, which shows a decrease of 10% compared to the same period last year.
Extended waiting times and bottlenecks at major Chinese ports have resulted in lower demand for imports of steel billet and higher freight costs for such shipments this week, sources told Fastmarkets on Friday August 13.
Export billet prices from the Commonwealth of Independent States (CIS) region declined at the beginning of the week, pressured by low prices and poor demand.
China’s domestic hot-rolled coil prices extended their gains on Wednesday August 11 after futures prices rose for a second straight day on higher market expectations of an output drop and demand recovery from low summer trading.
The iron ore market is going through inflammatory days. Despite the cross-sectional growth in iron ore prices, the outlook for this product is weak. Demand for iron ore is expected to weaken by February 2022 due to further declines in steel production and tighter emissions controls.
Due to the fact that a specific trend for prices in the Iranian market in the short term is not clear, market demand has decreased. The prevalence of Delta Corona in Iran has led to a decrease in steel prices in the Iranian market. International standards have also entered into this price reduction.