Russian domestic steel prices jumped as domestic producers there continue to seek parity with more-than-healthy Russian steel exports. The government is considering imposing a levy on shipments overseas.
The price of domestic rebar rose 17% last month, the largest increase among steel products, according to data from Metall Expert Consulting, a research firm with offices in Ukraine and Moscow. Hot-rolled coil climbed as much as 15% in the Russian Federation this month, it said.
“There is a stable demand for Russian steel on the external markets, thus domestic prices are seeking to match export price,” Nikolay Filkevich, project head at Metall Expert, which analyzes the domestic steel market, told Bloomberg News.
Producers are trying to close a price gap that by January had widened to about 4,000 rubles ($58.4) per ton of flat steel after the ruble weakened 48 percent in the past 12 months, according to Metall Expert.
Chinese steel prices closed flat for the day. The price of iron ore 58% fines from India hit a high price of CNY 450.00 ($71.90) and a low price of CNY 445.00 ($71.10) per dry metric ton. The price of Chinese HRC held steady at CNY 2,530 ($403.30) per metric ton. For the fifth consecutive day, the price of Chinese coking coal held flat at CNY 1,080 ($172.57) per metric ton.
Also on the LME, the cash price of steel billet saw little movement on Thursday at $305.00 per metric ton. The 3-month price of steel billet saw little movement on Thursday on the LME, closing out around $305.00 per metric ton.
The US HRC futures contract 3-month price held steady on Thursday, remaining around $515.00 per short ton. The US HRC futures contract spot price showed little movement yesterday, hovering around $500.00 per short ton.