Trading activity inVietnam’sHRCimport market has fallen significantly this week as most buyers have not been interested in purchases, seeing a slowdown in consuming industries due to the spread of Covid-19. Only some rare deals for ex-ChinaHRChave been reported over the past ten days at stable low prices.
The latest import bookings toVietnamhave been heard at $655/mt CFR, almost in line with the previous level. Last week, some position cargo changed hands at $645/mt CFR, but this was an exception as a trader needed to sell, while “a mill’s sale was at $655/mt CFR last week and it is still the market level now,” a source said. “Vietnamhas been very quiet and I am expecting the same calm until February 20,” another source said.
Demand for localHRChas been limited as Formosa Ha Tinh rolled over its prices for April deliveries for re-rolling gradeHRCto local customers at $720-725/mt CFR. This price level has been assessed as too high by customers.
Some price rebound is possible after the Chinese New Year in the last days of February, sources have said. “Everyone has eyes on China. Will it cut tax rebates [on export ofHRCfrom 13 percent to 8 percent]? It will change a lot of the dynamics of theHRCbusiness,” an international trader commented.
The SteelOrbis reference price for importedHRChas stayed at $650-655/mt CFR, showing minimal changes over the past week.