Malaysian rebar price moves up
2013-09-03 09:33:39 [Print]
BEIJING (Asian Metal) 3 Sep 13 - The price of rebar in Malaysia increases continuously supported by higher production cost and the depreciation of Malaysian Ringgit. Current prices of rebar BS4449 GR500 Φ10-12mm and BS4449 GR500 Φ14-32mm from local mills are MYR2,200-2,250/t (USD672-687/t) and MYR2,100-2,150/t (USD641-658/t) respectively. Insiders deem that prices are unlikely to go up further in following days of this week as the demand from buyers remains weak.
A small-size rebar producer in Perak quoted MYR2,250/t (USD687/t) and MYR2,150/t (USD658/t) respectively for rebar BS4449 GR500 Φ12mm and BS4449 GR500 Φ16-32mm from local mills, unchanged compared with those of last week but MYR100/t higher than those of two weeks ago.
The source only produces small-size rebar of BS4449 GR500 Φ8-10mm and the monthly output has reduced to 2,500-3,000t from the designed one of 4,000-5,000t. He said the production cost is increasing, so steel mills in Malaysia have to raise offers. “The price of scrap imported from Europe increases to USD370-380/t CFR Malaysia, while it was only USD320-330/t CFR one or two months ago,” he explained. However, the local demand remains soft, so he predicted that the rebar price will be unchanged this week.
A construction materials supplier in Selonger said current prices of rebar BS4449 GR500 Φ12mm and BS4449 GR500 Φ16-32mm from local mills are MYR2,200/t (USD672/t) and MYR2,100/t (USD641/t) respectively, with a markup of MYR100/t these two weeks.
According to the source, the price went up by MYR60/t in the week after the Muslim New Year holiday and by MYR40/t last week. “Actually, mills’ offers are MYR2,250/t and MYR2,200/t respectively, but concluded prices are lower,” he said, adding that the market is calming down without many orders. He attributed the price hike to the depreciation of Malaysian Ringgit. The currency exchange rate between Ringgit against US dollar reached a 9-month low of 3.388:1 last week, so steel mills lifted quotations time and time again. Nevertheless, he also reported that the market demand is still soft, and he thought the rebar price is impossible to go up further in following days of this week.
A small-size rebar producer in Perak quoted MYR2,250/t (USD687/t) and MYR2,150/t (USD658/t) respectively for rebar BS4449 GR500 Φ12mm and BS4449 GR500 Φ16-32mm from local mills, unchanged compared with those of last week but MYR100/t higher than those of two weeks ago.
The source only produces small-size rebar of BS4449 GR500 Φ8-10mm and the monthly output has reduced to 2,500-3,000t from the designed one of 4,000-5,000t. He said the production cost is increasing, so steel mills in Malaysia have to raise offers. “The price of scrap imported from Europe increases to USD370-380/t CFR Malaysia, while it was only USD320-330/t CFR one or two months ago,” he explained. However, the local demand remains soft, so he predicted that the rebar price will be unchanged this week.
A construction materials supplier in Selonger said current prices of rebar BS4449 GR500 Φ12mm and BS4449 GR500 Φ16-32mm from local mills are MYR2,200/t (USD672/t) and MYR2,100/t (USD641/t) respectively, with a markup of MYR100/t these two weeks.
According to the source, the price went up by MYR60/t in the week after the Muslim New Year holiday and by MYR40/t last week. “Actually, mills’ offers are MYR2,250/t and MYR2,200/t respectively, but concluded prices are lower,” he said, adding that the market is calming down without many orders. He attributed the price hike to the depreciation of Malaysian Ringgit. The currency exchange rate between Ringgit against US dollar reached a 9-month low of 3.388:1 last week, so steel mills lifted quotations time and time again. Nevertheless, he also reported that the market demand is still soft, and he thought the rebar price is impossible to go up further in following days of this week.
