CIS STEEL BILLET: Mills turn to Middle East as demand in Asia thin

Billet producers in the Commonwealth of Independent States have turned their attention to the Middle East region due to a slowdown in trading activity in Asia, particularly China, market sources said.

The move had been expected as buying by China has declined sharply over the past fortnight, with some sources citing heavy rains and jitters about another wave of Covid-19 infections as the cause. As a result, prices for CIS and Southeast Asian billet have hit a buffer.

Another factor that may hamper billet sales from the Black Sea basin to Asia is rising freight costs, spurred by increased shipment volumes in recent months as well as higher oil prices. Moreover, freight costs from the Black Sea basin traditionally rise in August and...

Published

Vlada Novokreshchenova

June 26, 2020

17:24 GMT

Dnepr