Indonesian rebar market inactive
2014-04-18 09:24:57 [Print]
BEIJING (Asian Metal) 18 Apr 14 - The price of rebar in Indonesia is stable at present and the market is running slowly. The demand from downstream industries is soft due to the election, so insiders predict that the market will remain inactive in coming days of this month.
A rebar trader in Surabaya reported that the price of BS4449 Gr460 Φ18-25mm from local mills is IDR7,082,880/t (USD620/t) VAT excluded, unchanged compared with that of last week.
The source said there are few new construction projects running in Indonesia and the demand for wire rod and rebar is soft because of the on-going parliamentary election, so steel mills there could not raise offers although prices of raw materials like steel billet and scrap went up in past two weeks by USD10-20/t. Without any stocks in hand, the source deemed that the rebar market will remain cold in coming days of this month.
Another construction steel trader in Batam, where is quite near Singapore reported that he often imports steel from China to Singapore and then transfers to Batam. According to him, he placed a small order of several hundred tones of rebar BS4449 Gr460 Φ18-25mm from China two weeks ago at USD490/t CFR Singapore, but he heard the export offer has increased by USD10-15/t.
The source said his stock of construction steel was around 10,000t in past several years when the market was active, but now it is only 3,000-4,000t because of the unsatisfactory sales volume and potential risks. He mentioned that there will be another election in August, so it is unlikely for the government to approve more major projects before that, and he is worried about the market in the near future.
A rebar trader in Surabaya reported that the price of BS4449 Gr460 Φ18-25mm from local mills is IDR7,082,880/t (USD620/t) VAT excluded, unchanged compared with that of last week.
The source said there are few new construction projects running in Indonesia and the demand for wire rod and rebar is soft because of the on-going parliamentary election, so steel mills there could not raise offers although prices of raw materials like steel billet and scrap went up in past two weeks by USD10-20/t. Without any stocks in hand, the source deemed that the rebar market will remain cold in coming days of this month.
Another construction steel trader in Batam, where is quite near Singapore reported that he often imports steel from China to Singapore and then transfers to Batam. According to him, he placed a small order of several hundred tones of rebar BS4449 Gr460 Φ18-25mm from China two weeks ago at USD490/t CFR Singapore, but he heard the export offer has increased by USD10-15/t.
The source said his stock of construction steel was around 10,000t in past several years when the market was active, but now it is only 3,000-4,000t because of the unsatisfactory sales volume and potential risks. He mentioned that there will be another election in August, so it is unlikely for the government to approve more major projects before that, and he is worried about the market in the near future.
