Malaysian wire rod market sees no improvement
2015-07-22 08:50:32 [Print]
BEIJING (Asian Metal) 22 Jul 15 - The wire rod market in Malaysia performs inactively with prices stable at the moment. The demand remains stagnant when the Ramadan comes to the end. Insiders deem it is hard for wire rod market to recover in the short term.
A wire rod trader in Perak reported that the price of wire rod SAE1008 Φ6.5mm from local mills is MYR1,700/t (USD447/t) with GST excluded, equaling to that of last week.
According to the source, some participants are still in holiday for the Lesser Bairam at the moment, so that the market is running slowly. His sales volume was only 500 tons in June and he predicts it will be around 400 tons in July, influenced by the demand’s shrinking in the Ramadan (June 18-July 17). The source reveals August is a traditional off-season for wire rod’s consumption, so he does not think the market will show improvement in the month. The source pins his hope on the market in September.
A wire rod trader in Johor said the current price of wire rod SAE1008 Φ6.5mm imported from China is MYR1,650/t (USD434/t) with GST excluded, the same as that of last week.
Noted by the source, the import price of wire rod with the above-mentioned grade is USD330/t FOB China. “Importers still can get profit from the business,” he says, adding that local steel mills are competing on prices with exporters. The source states that local steel mills have continuously cut prices by around MYR100/t (USD26/t) in past five weeks, even though they are bearing heavy losses. The source reveals that demand from downstream consumers remains stagnant as the Ramadan came to an end just now. He does not think the market will make progress in August.
A wire rod trader in Perak reported that the price of wire rod SAE1008 Φ6.5mm from local mills is MYR1,700/t (USD447/t) with GST excluded, equaling to that of last week.
According to the source, some participants are still in holiday for the Lesser Bairam at the moment, so that the market is running slowly. His sales volume was only 500 tons in June and he predicts it will be around 400 tons in July, influenced by the demand’s shrinking in the Ramadan (June 18-July 17). The source reveals August is a traditional off-season for wire rod’s consumption, so he does not think the market will show improvement in the month. The source pins his hope on the market in September.
A wire rod trader in Johor said the current price of wire rod SAE1008 Φ6.5mm imported from China is MYR1,650/t (USD434/t) with GST excluded, the same as that of last week.
Noted by the source, the import price of wire rod with the above-mentioned grade is USD330/t FOB China. “Importers still can get profit from the business,” he says, adding that local steel mills are competing on prices with exporters. The source states that local steel mills have continuously cut prices by around MYR100/t (USD26/t) in past five weeks, even though they are bearing heavy losses. The source reveals that demand from downstream consumers remains stagnant as the Ramadan came to an end just now. He does not think the market will make progress in August.
