Second week of July has brought considerable business upturn to Egypt’s square billet market. Main reason is the buyers' aim to replenish stocks, given rising prices and demand for rebar in the country. In addition, recently disclosed AD rates for import rebar have resulted in some stronger confidence among Egypt’s local mills. As a result, some sizeable billet volumes were booked from the CIS and more are expected to follow.
During the week offers from the CIS were coming within $413-420/t CFR (up $3-5/t week-on-week). Latest deals were closed at $413/t CFR for around 35,000 t, while earlier this week 15,000 t of billet changed hands at $417/t CFR. Both deals and current offers are indicated for end-July shipments. Egyptian buyers expect new deals to be closed in the short-run, considering rather high demand for semis coupled with positive rebar market prospects.
The majority of billet importers, according to market information, are seeking to get some discounts in the next round of purchases while CIS suppliers are counting on slight price increase in the near future. “Interest in new purchases is high. Some still expect to book at $410/t CFR.
13 June 2017