The price of hollow steel pipes in Europe increased further amid a tightening availability of HRC supply. Let's see how the current steel prices are moving with our update news this week.
China
Chinese HRC prices extended their gains early this week after futures prices for the flat steel product continued to rise amid strong cost support. On Mar 29th, the price of domestic HRC in Eastern China was at Yuan 5,230/t ($821/t), up by $6/t from a week earlier. Similarly, the square billet prices in Northern China strengthened to nearly a five-month high of Yuan 4,800/t ($754/t) EXW, including the 13% VAT, as billet suppliers were bullish about demand going forward.
Viet Nam
Domestic produced HRCs from Formosa and Hoa Phat are offering around $930-935/t CIF and $910/t CIF HCM basis for May-early June shipments. Similarly, Chinese HRC offers to Viet Nam market stand at around $920-930/t, up by $15-20/t from a week ago. However, Japanese HRC offers continue to hover around $980/t CFR Vietnam.
Japan
Tokyo Steel has raised the prices for HRC by JPY 10,000/t ($81/t) to reach JPY 120,000/t ($969/t)-exw for Apr'22 sales amid surging raw material prices and rising steel prices globally. Taiwan's top steel producer CSC has decided to add JPY 20,000/t ($163/t) to its prices for flat steel including HRC, CRC, and plates export to Japan for May-July shipments to transfer the rise in its production costs. South Korea's Posco had already decided to add JPY 10,000/t ($81/t) for flat steel export to Japan next quarter.
Europe
The price of hollow steel pipes in Europe increased further amid a tightening availability of HRC supply. The price of domestic medium steel pipes delivered in Northern Europe was €1,780/t ($1,960/t), up by €80-200/t from a week earlier. In domestic Northern Europe, HRC was transacted at €1,400/t ($1,541/t) EXW, up by €25/t week on week.
America
HRC prices in the US have moved above $1,460 per shot ton ($1,606/MT) on March 29, up by 2.4% in 2 days, with limited spot sales from steelmakers while they wait to see where raw material costs will land in April. Due to the pressure from HRC price, tube mills in the US increased the price for ERW A53 standard pipes by $200 per shot ton ($220/MT) from March 24.
In South America, most producers in Brazil like CSN announced sharp price increases by 20% for April, steel distributors and end-users are expected to increase purchases and rebuild inventories. For the export market, Brazilian producers are negotiating with their South American customers in a reference price of $1,300/t.
In other words, the steel market is likely to become tight temporarily and prices will rise in the future.
Please contact us with the following form or directly to our sales staff regarding the purchase method, delivery date/quote, etc. so we can support to secure the necessary steel purchases that are already visible while the stock is relatively in stock, not a little early.
