Steel billet prices in most markets around the world continued to experience gains in the week ended Friday November 22 because suppliers were unwilling to provide discounts to buyers while the arbitrage window between international and domestic Chinese prices remained open.
Scrap prices in Turkey, the world's largest importer of the steelmaking raw material,
have strengthened since plunging to a year-to-date low of $225.88 on October 1.
China, Southeast Asia
Billet prices in Southeast Asia rose amid continued competition from Chinese importers in the spot market.
A Chinese trader reportedly booked 50,000 tonnes of Qatari billet at $418-425 per tonne cfr China, and Iranian billet was offered at $405-410 per tonne cfr China.
Prices in Jiangsu province, a major entry point for imported billet, were 3,640-3,680 yuan ($518-523) per tonne exw on November 22, according to a local billet trader.
The price spread would be $34-37 per tonne between international and domestic prices after the 13% value-added tax and 2% import duty to sell the cargoes into the domestic market are taken into account.
Billet prices in Tangshan, northern China's steelmaking hub, rose due to strong...