China's steel billet export trends attract much attention
2024-02-28
News about steel billet exports spread in the market. Some steel mills and large traders have suspended export orders for steel billets, and some businesses have stated that they will gradually reduce billet exports. The current mainstream export billet price of 5sp 130*130 is around 510 yuan/ton FOB. Looking at overseas quotations, mainstream steel billet resources in Indonesia are quoted at US$520/ton FOB, Vietnam is quoted at US$530/ton FOB, and superior resources in the Middle East are quoted at US$505/ton FOB.
At the same time, there are market rumors that China's steel billet export tax rate may be adjusted. The current export tax rate for steel billet is 0, and the export tax for pig iron is 20%. If the export tax rate for steel billet is based on the export tax rate for pig iron, then based on the current price, the export cost of steel billet will be higher than that of rebar and hot coil, and it does not meet the export conditions. According to Mysteel`s understanding, Southeast Asian electric furnace plants have recently paid great attention to the subsequent policy changes in China`s steel billet exports. If China imposes additional tariffs on steel billet exports, the price advantage of Southeast Asian steel billets will greatly increase from an international perspective.
