SINGAPORE June 02 2016 11:26 AM

SINGAPORE (Scrap Register): ASEAN hot rolled cold (HRC) steel import prices (CFR ASEAN port) fell drastically by $63 a ton week-on-week to $375 a ton in the week ended May 13, as per the latest figures released by The Steel Index. 

According to TSI, ASEAN HRC index fell sharply by $63 a ton over five trading days to close at below $400 a ton CFR ASEAN port. 

Despite mills’ efforts to hold prices steady, traders were actively offering discounts, pushing spot prices down. Their behavior was driven by the need to offload cargoes that were previously cancelled by buyers, while others were betting that prices would continue to decline, short-selling material.

Limited quantities of Japanese material returned to the market, but prices were uncompetitive compared to Chineseorigin offers. Formosa Vietnam was heard offering HRC at $380 a ton for SAE 1006 grade to domestic customers, for delivery within 30-40 days. 

The recent roller-coaster ride in spot prices in ASEAN markets will have scared off both buyers and sellers alike, with volatility at unprecedented levels causing a headache for those hoping to conclude deals.

(This article is compiled by Vibin Antony on behalf of Scrap Register. Send in your suggestions and comments to editor@scrapregister.com)