In May iron and steel works in CIS countries increased wire rod price to $595-600 per ton FOB Black Sea from $580 per ton, according to Platts.
Rebars became $20 more expensive ($560 per ton). The gap between prices of wire rod and rebars has widened to $35 per ton.
One of CIS works has recently been selling rebars at $530 per ton with prepayment, while wire rod could be obtained for $575 per ton FOB.
The differences have to do with the limited availability of wire rod and an overwhelming demand for rebars.
“Turkish rebar works have been blocked on the US and EU markets because of the 25% import duty in US and the second antidumping investigation in EU”, a trader reported.
Current rebar offers in CIS should not exceed $550 per ton FOB Black Sea, traders believe.
Turkish manufacturers ask for $560 per ton FOB Turkey, which allows CIS companies to sell their metal above $550 per ton. (Ukrainian metal)