Steel billet import prices in Asia push up on rising raw materials costs

A strong raw materials markets and rising demand led to an increase in semi-finished import prices in Asia at the end of the week, sources told Fastmarkets on Friday January 14.

A bid for about 80,000 tonnes of Indonesia-origin 3sp 150mm blast furnace (BF) steel billet came in at $625-628 per tonne cfr on Wednesday, but was rejected by the producer mill, which then immediately withdrew its existing offer prices from the market in the belief it could achieve higher prices, sources said.
And it was proved right, when a major Chinese importer source told Fastmarkets on Friday that a cargo of the same specification had been sold at $630-635 per tonne cfr China toward the end of the week amid stronger demand in China.
“Steel margins had remained at a good level, but scrap prices went up too fast recently and meant most [mills with] electric arc furnaces (EAFs) were losing money. Most of them stopped production and only plan to restart after the Chinese New Year,” he said.

“So the market needs more [material to roll],...

Published

Lee Allen

January 14, 2022

18:43 GMT

London