PRICING NOTICE: Proposal to amend cfr Southeast Asia steel billet price specifications

Fastmarkets proposes to make two amendments to the specifications of its daily price for steel billet, import, cfr Southeast Asia.

The proposed changes are in response to market feedback requesting a change in the price specification to make the price assessment more representative of the cfr Manila steel billet import market.

The Philippines is the largest steel billet importing nation in Southeast Asia and has increased its importance within the region due to Indonesia increasingly raising its purchases of domestic blast furnace (BF) billet and its reliance on Iran-origin material.

Fastmarkets’ daily price assessment for steel billet, import, cfr Southeast Asia excludes prices for Iran-origin billet from its assessment due to the steep price discount between Iran-origin material and BF billet from other popular origins such as Vietnam, India and Russia.

The proposed amendments concern:

1. Changing the price name so that the assessment is on a cfr Manila basis rather than a cfr Southeast Asia basis.
2. Changing the quality of material assessed to a high manganese modified 5sp, with manganese content of 0.8-1%.

The proposed new specifications are as follows:
MB-STE-0141 Steel billet import, cfr Manila, $/tonne
Quality: 120x120mm to 150x150mm, length 12m, modified 5sp, manganese content of 0.8-1%
Quantity: 5,000-50,000 tonnes
Location: cfr Manila (other Southeast Asian ports to be normalized)
Timing: 6-10 weeks
Unit: US dollar/tonne
Payment terms: Letter of credit
Publication: Daily, 5-6pm Singapore time

The consultation period for the propped changes starts Wednesday December 30 and will end on February 1. The proposed changes, subject to market feedback, will be implemented on February 3.

To provide feedback on the proposed amendments to the specification, or if you would like to provide price information by becoming a data submitter to Fastmarkets’ steel billet pricing, please contact Lee Allen by email at: pricing@fastmarkets.com. Please add the subject heading “FAO: Lee Allen, re: Southeast Asia steel billet price.”

To see all of Fastmarkets’ pricing methodology and specification documents, go to https://www.fastmarkets.com/about-us/methodology

What to read next
The Inflation Reduction Act in the United States may ironically cause global metal market prices to rise for some metals used in electric vehicles (EVs), Fastmarkets sources said
An alarming drop in water levels in Germany’s Rhine River and other key waterways in Europe has led to massively strained logistics in shipping commodities across Europe, driving up costs and exacerbating material supply, sources told Fastmarkets
Fastmarkets is proposing a realignment of its dealer selling price for ferrous scrap machine shop turnings in Houston, effective from the September 2022 monthly settlement.
Participants in the US steel market were divided on the impact of a price increase from Nucor’s sheet mill group this week, with some suggesting hot-rolled coil prices could fall further while others were optimistic that announcement could halt - or even reverse — the recent downtrend
Chromite prices rose further in the two weeks to Tuesday May 31 on support from cost pressures and logistical issues in South Africa
UG2/MG chrome ore prices experienced major declines in the week to Tuesday July 12, dropping by $15 per tonne week on week, as the market saw the beginnings of a break in the continuing stalemate of recent weeks
We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
Proceed