DEVELOPING MARKETS HIGHLIGHTS – FROM
MEPS INTERNATIONAL LTD
The Instituto Ašo Brasil (IABr) has
reported that domestic finished steel sales in February totalled 1.48 million
tonnes – down 15.6 percent, compared with last year’s figure. Nevertheless, the
Brazilian steel industry remains upbeat over the general outlook for 2015.
The business environment remains challenging in the Russian Federation. Local
trading houses have queried whether the latest domestic price levels are
supported by market and economic fundamentals. There is reluctance on the part
of end-users to commit to forward orders.
Indian stockists remain cautious about the strength of underlying consumption in
the April-June period. The majority are booking for immediate requirements only,
due to continuing price fluctuations. Moreover, the Union Budget failed to
provide the domestic steel industry with any respite. The import duty on both
flat steel and long steel products was maintained at 7.5 percent and 5.0
In Ukraine, distributors have struggled to adapt to the unpredictable business
environment. Shipments to industrial companies continued to deteriorate in the
trading period surveyed.
Turkish steelmakers have had mixed success in their efforts to advance
transaction values to distributors. End-users are reluctant to take positions,
following the recent volatility in both domestic and import quotations.
Business sentiment is unchanged in the United Arab Emirates. Distributors are
holding off purchasing to see how demand develops. Moreover, Emirati rolling
mills are likely to reduce their April selling figures.
Business sentiment remains subdued in South Africa and prices are unchanged this
month. Local stockists expect sales volumes to stay muted in the second quarter.
Source: MEPS -
Steel Review - March Edition
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