Iranian billet export prices declined sharply to around $400-405/t FOB, with most offers coming from trading companies rather than steel mills. Just a week earlier, trading companies concluded deals at $413-415/t FOB, while mills sold at $415-420/t FOB. Market participants said buyers are no longer willing to pay above $410/t FOB, considering such levels commercially unattractive. Uncertainty surrounding maritime transportation, particularly ongoing concerns affecting the Strait of Hormuz, also continued to discourage purchasing activity. Despite the weaker market, a steel mill in Bandar Abbas concluded a 20,000-tonne billet export deal at $415/t FOB, although the shipment schedule has not been disclosed.
Russian billet export prices remained unchanged at $480/t FOB Black Sea, but trading activity stayed limited. The stronger ruble, which strengthened to around 71-72 per US dollar, reduced exporters' flexibility to lower prices, leaving Russian suppliers unable to compete with cheaper material from other origins.
Chinese billet export prices continued to soften. Export offers for 150 mm 3SP billet fell by $5-10/t from the previous week to around $455/t FOB for late-September shipment, while other export quotations eased to $458-461/t FOB. These levels correspond to approximately $505-510/t CFR for 4SP billet delivered to GCC ports. Overseas buyers largely remained on the sidelines as Chinese prices continued to decline, while reduced EU import quotas and narrowing price competitiveness against other suppliers further weakened demand. Several Chinese mills also reported limited interest in accepting new export orders, saying current export prices no longer provide attractive margins.
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