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|Japanese HR Coil Prices Set To Rise In Export Sales To Distant Areas|
Transaction prices look set to advance in HR coil exports out of Japan to distant areas such as the Middle East and Latin America for shipments in March 2006, TEX Report learned Tuesday.|
Japanese integrated steelmakers have begun their HR coil export negotiations this week on March shipments to distant areas. They have active inquiries from local customers who show intent to expedite contract settlements for HR coil imports from Japan, thereby beating an upswing in the HR coil market.
The existing inquiries call for prices that compare with what prevailed before the lunar New Year holidays in Asia. At the time, benchmark prices in Japanese HR coil exports were described as levels of US$450/ton C&F for the Middle East and US$500/ton C&F for Latin America.
For their part, the Japanese steelmakers have ideas of negotiating higher prices than before that amount to US$460-470/ton C&F for the Middle East and US$510-520/ton C&F for Latin America.
In Brazil, meanwhile, integrated steelmaker Cia Siderurgica Nacional (CSN) faces the need to secure 100,000 tpm of steel slabs at home or from Mexico in and after March shipments in the wake a recent accident at CSN's Volta Redonda works. But it is likely that CSN will find itself preoccupied with domestic supplies of HR coils, resulting in no leeway for HR coil exports, even if the company has secured a sufficient amount of slabs for HR coil production.
As a result, Latin America's various users, who usually depend on CSN for HR coil supplies, have increasingly made inquiries for HR coil imports from Asian sources such as Japan, according to market sources.
|last modified : Mon 13 Feb, 2006 [10:53]|