Rebar import prices to the US have edged up in recent days, but traders this week said customers have been unwilling to buy at the new levels.
"Nobody will pay us $18/cwt ($360/st on a loaded truck basis in Houston) when a week and a half ago they paid us $17/cwt ($340/st)," one trader said.
Turkish scrap prices have risen in recent weeks, translating to higher rebar offers. He said current prices are about $350-$360/mt CFR Houston for late January to February arrival, but prices are negotiable.
Buyers are taking the risk of holding off on placing orders, hoping that the scrap price will fall, the trader said. He thinks Turkish scrap prices will be stable in the short term.
Platts kept its imported rebar price assessment unchanged on Friday at $321-$330/st ($354-$364/mt) CIF Houston.
A southeastern rebar distributor said rebar arriving in January has been booked at $355/st on a loaded truck basis, but late January to early February offers are up by $18/st. He said distributors believe the price increase will be short-lived and are not interested in paying these higher prices. "We/they have all been fooled too many times in the past," he said.
Another trader said it is hard to tell what the market pricing for rebar on a loaded truck basis is because some traders might be still selling material purchased at a lower level than what's available now. He said Turkish rebar offers are about $355/mt CFR Houston.
There was a lot of rebar booked for December arrival, the trader said, which is unusual because customers tend to want to pare down inventories before the end of the year.
A third trader said he does not believe Turkish mills will be successful in raising their prices. He last bought rebar for $340/mt CFR Houston, but offer prices now are $350-$360/mt CFR Houston.
Some traders said they are exploring other options for imported rebar, but little imported rebar has been booked outside of Turkey. A trader said Portugal has the euro-to-dollar currency exchange rate working its favor.
