[SMM Analysis] Global Steel Market Weekly Review – Issue 8

[SMM Analysis] Global Steel Market Weekly Review – Issue 8

Last week, Chinese steel futures swung widely but trended upward overall. Prices extended gains this week, and export offers also moved higher. Chinese HRC export offers are now $465-468/mt, with tradable levels around $450-455/mt; billet export offers stand at $436-446/mt. On the transaction side, inquiries over the past two weeks were moderate, yet concluded deals still favored lower prices. By product, Chinese billet export prices are now at a discount to overseas markets such as Indonesia and the Philippines, making trader sales difficult and keeping turnover mediocre. For HRC, November falls within Vietnam’s anti-dumping window for wide coils, so an export rush has been common since the start of the month. However, as major Vietnamese traders’ inventories have climbed, purchase willingness has recently pulled back. Cold-rolled margins are currently more attractive than HRC, but although unit prices are higher, order volumes still lag those for hot-rolled.

Overseas markets: Middle East – Following parliamentary elections in Iraq early last week, business activity is gradually recovering. Demand for some long products such as rebar and deformed bar has been solid, with prices stable since early November. UAE and Saudi Arabia sheet & plate export prices were in the doldrums MoM, while trading sentiment for some cold products like cold-rolled and galvanizing was soft. Overall, the Middle East remains mired in weak demand; attention will stay on upcoming offers from key Asian exporters, especially Southeast Asia, India and China.

Southeast Asia – Recent transaction prices were mainly in the doldrums. Extreme weather in some areas slowed procurement activity. For Malaysia, the key export destination is Singapore; taking rebar as an example, low price acceptance in Singapore plus overland freight costs from Malaysia leave it without a price advantage.

Indian Market: Domestic market prices remain weak and stable due to sluggish demand. Meanwhile, factors such as liquidity issues, oversupply, and high inventory levels are making buyers more cautious in their procurement. However, in overseas markets, intense competition for low-priced resources has driven prices down. Currently, the CFR price for Indian HRC to Vietnam is approximately $485-487/mt.

Copyright and Intellectual Property Statement:

This report is independently created or compiled by SMM Information & Technology Co., Ltd. (hereinafter referred to as "SMM"), and SMM legally enjoys complete copyright and related intellectual property rights.

The copyright, trademark rights, domain name rights, commercial data information property rights, and other related intellectual property rights of all content contained in this report (including but not limited to information, articles, data, charts, pictures, audio, video, logos, advertisements, trademarks, trade names, domain names, layout designs, etc.) are owned or held by SMM or its related right holders.

The above rights are strictly protected by relevant laws and regulations of the People's Republic of China, such as the Copyright Law of the People's Republic of China, the Trademark Law of the People's Republic of China, and the Anti-Unfair Competition Law of the People's Republic of China, as well as applicable international treaties.

Without prior written authorization from SMM, no institution or individual may:

1. Use all or part of this report in any form (including but not limited to reprinting, modifying, selling, transferring, displaying, translating, compiling, disseminating);

2. Disclose the content of this report to any third party;

3. License or authorize any third party to use the content of this report;

4. For any unauthorized use, SMM will legally pursue the legal responsibilities of the infringer, demanding that they bear legal responsibilities including but not limited to contractual breach liability, returning unjust enrichment, and compensating for direct and indirect economic losses.

Data Source Statement:

(Except for publicly available information, other data in this report are derived from publicly available information (including but not limited to industry news, seminars, exhibitions, corporate financial reports, brokerage reports, data from the National Bureau of Statistics, customs import and export data, various data published by major associations and institutions, etc.), market exchanges, and comprehensive analysis and reasonable inferences made by the research team based on SMM's internal database models. This information is for reference only and does not constitute decision-making advice.

SMM reserves the final interpretation right of the terms in this statement and the right to adjust and modify the content of the statement according to actual circumstances.