These developments also created significant volatility in maritime trade and freight costs. Due to security risks on routes passing through the Strait of Hormuz, some shipowners diverted their vessels via the Cape of Good Hope. This detour extended delivery times on the Asia–Europe route by approximately four weeks and resulted in a marked increase in freight and insurance costs. Freight rates for shipments from India rose to around USD 75/t, while cargoes from China were reported at USD 50–60/t.
In China, HRC offers from major producers were reported at FOB USD 475–495/t. Producers largely maintained their prices, while many buyers adopted a wait-and-see approach amid uncertainty surrounding the conflict. This trend coincided with the traditional consumption season in March and April, as well as expectations for potential stimulus measures following the Two Sessions meetings in Beijing. However, the absence of strong supportive signals from the meetings suggests that China is likely to continue its strategy of controlled inventory management and supply regulation, a policy emphasized since the beginning of the year.
A cautious outlook also prevails in the Vietnam market. One of the country’s major producers, Hoa Phat, kept its domestic HRC prices for May shipments unchanged at CIF USD 516/t. In the import market, offers from Indonesia were reported at USD 515/t, while Indian-origin offers ranged between CFR USD 500–510/t. If demand remains limited, some suppliers may redirect their cargoes to other Southeast Asian markets.
Additionally, under the anti-dumping measures announced by Türkiye, additional duties of approximately 30–36% on Chinese-origin products and around 10% on South Korean-origin products are expected to be implemented. This development may further accelerate the redirection of South Asian-origin steel toward the European market.
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