Issue 09, 2024 - This week's editorial: Indian HRC export prices remain higher than other Asian competitors

Since March last year Indian export HRC prices have been the most expensive among Asian exporting countries. This is mainly due to the strong domestic demand that continues to be registered in the country. Increasingly since last year’s second half, Indian HRC prices have outperformed other markets and the trend is expected to continue in 2024 as domestic demand remains firm.

Last week Indian hot and cold rolled coil export activity remained quiet, amid softening Chinese prices. Sources say this is due to high inventories in the European market and the perception of safeguard quota exhaustion risk impacting demand from Europe.

Indian domestic demand continues to remain stable nevertheless. Traders anticipate demand to pick up further after the upcoming general elections are completed. These are expected to be held in April or May.

A market source says: “The [European] market remains quiet, there’s not much activity. People just want to wait.” Multiple factors are contributing to the subdued market activity in Europe, including quota issues and high inventories, the source adds.

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