MEPS - BRIC AVERAGE 'ALL PRODUCTS' STEEL
PRICE UP 1.4 PERCENT IN MARCH
The MEPS BRIC average transaction price, measured in US
dollars, increased for all eight finished carbon steel product types published
in MEPS Developing Markets’ Steel Review.
The Brazilian steel industry remains upbeat over the general outlook for 2014.
Long product steelmakers have adopted more aggressive pricing positions. Local
stockists have resumed monitoring the domestic-import price differential as a
result. The steel distributors association (Inda) has reported that imports of
flat steel products totalled 123,780 tonnes in February - an increase of 7.7
percent compared with the corresponding period last year.
Russian trading houses have queried whether the latest domestic price levels are
supported by market and economic fundamentals. Active buyers are booking for
only immediate requirements due to continuing price fluctuations. Shipments to
tube fabricators, OEMs and mechanical engineering companies have performed below
Indian distributors remain cautious about the strength of underlying consumption
in the April-June period. Deliveries to downstream industries were disrupted by
the Holi festival and the close proximity of the general election.
The Chinese steel industry expects the second quarter to be a challenging
trading period. Profit margins have been eroded by the ongoing overcapacity
problem and the volatility of raw material prices. The China Iron & Steel
Association (CISA) has reported that the aggregate daily output of crude steel
by the leading mills in the first ten days of March totalled 2.097 million
tonnes – an increase of 0.6 percent compared with the corresponding period in
Source: MEPS -
Free Sample copy
of Developing Markets' Steel Review