Pakistani CRC market hard to recover
2015-04-08 08:52:14 [Print]
BEIJING (Asian Metal) 8 Apr 15 - The price of CRC in Pakistan is powerless to rebound at this moment influenced by the weak demand from downstream consumers and the brunt of cheap steel imports from other countries such as China, Russia. Insiders predict that it is likely that the price of CRC will decline in the near future.
A trader in Karachi says the current market price of SPCC 1.0mm*1,220mm*C is PKR76,400/t (USD750/t) with taxes included, the same as that of last week.
According to the source, last week, he got an offer of USD480/t CFR Karachi for CRC with the above-mentioned grade. “Prices from Russia are almost at the same level,” he says, adding that the ex-works price of materials from local steel mills is PKR70,800/t (USD695/t) with taxes excluded. The source reveals that most traders prefer to import CRC from China or Russia instead of purchasing locally. However, the demand from downstream consumers is quite limited. Being short of confidence in the market recovery, the source would like to hold cautious attitude towards the coming market.
A trader in Lahore reports to Asian Metal that the price of SPCC 1.0mm*1,220mm*C is PKR76,500/t (USD751/t) with taxes included, equaling to that of last week.
Noted by the source, the price of CRC has decreased by PKR1,000/t (USD10/t) in recent two months. In his opinion, prices of raw materials such as iron ore are still on the downward trend, so it is hard for the price of CRC to go up in the near future. In addition, the unreleased demand from downstream industries also restrains the CRC market recovery. “Pakistan's automobile production and sales figures for February 2015 showed a meager 2% Month on Month decline on fading seasonal effect,” he says, predicting that the demand will take a long time to release in the future as the economy develops slowly at the moment.
A trader in Karachi says the current market price of SPCC 1.0mm*1,220mm*C is PKR76,400/t (USD750/t) with taxes included, the same as that of last week.
According to the source, last week, he got an offer of USD480/t CFR Karachi for CRC with the above-mentioned grade. “Prices from Russia are almost at the same level,” he says, adding that the ex-works price of materials from local steel mills is PKR70,800/t (USD695/t) with taxes excluded. The source reveals that most traders prefer to import CRC from China or Russia instead of purchasing locally. However, the demand from downstream consumers is quite limited. Being short of confidence in the market recovery, the source would like to hold cautious attitude towards the coming market.
A trader in Lahore reports to Asian Metal that the price of SPCC 1.0mm*1,220mm*C is PKR76,500/t (USD751/t) with taxes included, equaling to that of last week.
Noted by the source, the price of CRC has decreased by PKR1,000/t (USD10/t) in recent two months. In his opinion, prices of raw materials such as iron ore are still on the downward trend, so it is hard for the price of CRC to go up in the near future. In addition, the unreleased demand from downstream industries also restrains the CRC market recovery. “Pakistan's automobile production and sales figures for February 2015 showed a meager 2% Month on Month decline on fading seasonal effect,” he says, predicting that the demand will take a long time to release in the future as the economy develops slowly at the moment.
