Category: Новини

Ukraine has reduced the output of the metal in January

In January Ukrainian metal companies produced 1.87 million tons of carbon steel, which is below the 25.2 per cent year on year.
Pig iron production decreased by 26.4%, to 1.72 million tons, while production of metal products decreased by 25.1 per cent to 1.71 million tonnes per annum.
At the same time, coke production decreased by 39.3 per cent to 905 500 tons of steel pipes by 10.1 percent to 78 300 tons.
In 2014 Ukraine produced 23.79 million tons of metal, 27.16 million tons of steel and 24.81 million tonnes of pig iron, which indicates a fall by 17.7 percent, 16.9 percent and 14.8% yoy respectively.

JPMorgan: Average price per ton of iron ore in 2015 will be less than 51$

One of the oldest financial conglomerates on the planet JPMorgan Chase & Co. on Tuesday published a new review of the iron ore market which has reduced the previously made predictions on the prices of this raw material more than 20 percent.
According to new data, the average price of iron ore in 2015 will be 51 dollars per ton, in 2016 – $ 50.
As noted in JPMorgan to change the target prices they were forced to recent data from China iron and steel industry which in the first quarter significantly reduced the volume of steel production.
At the same time, the largest mining corporations in the world are not going to restrain the growth of production of iron ore, but on the contrary actively expanding its production.
"Our analysts do not expect in the short term, production cuts, partly because of fears leaders to lose their market share. Indeed, due to the projected expansion of aggressive supply iron ore to world market prices fall", the report said JPMorgan.
Meanwhile on Tuesday the price of iron ore at the Chinese port of Qingdao increased a little, reaching the highest this month 50,78 level in U.S. dollars per dry ton. April 2, iron ore prices in China fell to an 11-year low of $ 47 per ton.
The gross domestic product of China grew by 7 percent during the first three months of the annual comparison. The primary production of steel decreased by 1.7 percent to 200 million 100 thousand tons in the first quarter of 2015.

How is the price for scrap in the Ukraine?

Prices for ferrous scrap in Ukraine are established by the Association of consumers, reported on a press-conferences the General Director of the metallurgical plant "ArcelorMittal Kryvyi Rih" he is a mechanical engineer Kalon (Paramjit Kahlon).
"In Ukraine there is a fixed amount of scrap available every 10 days. And every 10 days the consumers are free to make the decision about the price of scrap metal," said Kalon, "I don't think the price they pay, is very different from one another. In terms of the quality of raw materials can be the difference of 10-20 UAH. per ton, but this is not such a big difference."
At the same time Vladimir Tkachenko, Deputy Director of AMKR on cooperation with public authorities and communications, said that the plant pays for goods that have been delivered to the company, whereas the market often practiced by payment in advance.

Weekly forecast of price conjuncture of the world market of steel scrap for January 3-10,

Last week the demand on the world market continued to increase, allowing traders to strengthen their position.
Turkish steelmakers, after returning to the market after the holidays, resumed its active replenishment. In such circumstances, the exporters almost daily announced price increase. In turn, the importers, given the decreasing supply from the EU and the USA, agreed to sign the contracts, taking the growth of quotations. So scrap grade HMS 1&2 (80:20) was trading at 395-407 $/t cif. However, some merchants refused to sell the material cheaper 410 $/t cif. More high-quality raw materials brand Shredded was quoted at 412-415 $/t cif. Such a significant rise in the cost of scrap from the EU and the US have forced many importers to switch import from Baltic ports. In the result, signed several deals to supply vysokokachestvennoj&S for 406 $/t cif.
In the Asian market price trend has also been rising amid very limited supply. South Korean buyers are bought American scrap HMS1 for 410 $/t cif. At the same time, raw material, HMS 1&2 (80:20) with delivery in Taiwan has risen to 402 $/t cif. In the Chinese ports of quotes of the same brand are 415-420 $/MT cif, while Japanese raw material H2 is available at 370-380 $/t cif. In the domestic market of Japan TokyoSteelповысил purchase quotes on all your plants for 6 to 17 $/t. Such obrabotany reached 328 $/t for the scrap grade H2. Interestingly, if in previous periods the increase in purchase prices for TokyoSteelобуславливал rise in export quotations, at the moment a causal link has changed (activation of exporters led to the outflow of raw materials to the ports, which forced local buyers to raise prices).
On the US domestic market scrap rate start to increase. So in most regions shredirovannogo implemented scrap at $390/MT cpt, which is 10 $ more than the price of previous contracts. Similarly, rose and scrap HMS1, due to the scarcity of this grade of scrap in most regions of the United States.
Thus, the global market activity remained at high level, however, weak demand for rentals makes the questionable prospects for long-term preservation of the upward trend.
 
Yuri Dobrovolsky,
The "Delphica"Project
 
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