Overseas
July 18, 2014
World Export vs. Domestic HRC Price Spread Increases $8 per ton
Written by Brett Linton
The world export price for hot rolled bands was at $506 per net ton ($558 per metric ton) according to data released by SteelBenchmarker this past week. The world hot rolled export price is up $2 per ton compared to the report produced in late-June.With an estimated $70 per ton added in order to get the steel to ports in the United States (freight, handling, and trader margin), the additional costs put the theoretical world HRC export price at approximately $576 per ton CIF USA Port (we are hearing actual quotes are closer to $610 per ton).
The latest Steel Market Update hot rolled price average is $670 per ton, up $10 per ton from late-June. The theoretical spread between the world export price and the SMU US HRC price is now $94 per ton ($164 prior to freight and other costs being included), $8 per ton more than late-June but $2 per ton less than one month ago.
