Pressure mounts on Chinese HR imports

摘要

Chinese hot rolled coil import prices are coming under fierce pressure as dockside inventories reach saturation point. Buyers are avoiding new transactions, forcing HR suppliers to drop their offer prices almost daily. Ukrainian-origin HR is now being offered into China at a c&f level of 310-315 dollars per tonne, yet mills are struggling to complete new transactions for delivery in April-May. Most importing countries subject to individual Chinese quota levels have already surpassed their tariff-free HR allocation and are awaiting a renewal of quotas from May 24. Anxiety is growing among traders that US shipments in particular may already be approaching their quota level for the following twelve-month period.