Korea’s ordinary steel slab production is waning this year contrary to the usual year, apparently reflective of the current valor over the iron prices, recording 3,550,631 metric tons, in February, down 9.4 percent from January when the production used to be amplified.
Ordinary slab production in February was smaller than the previous levels counted for February over the latest three years, i.e., compared with 3,557,102 tons in 2017 or 3,604,721 tons in 2018.
The continuous decrease of Korea’s ordinary steel slab production seems connected with the iron ore import prices which continued stronger in international trade since accidents of the tailing dams in Brazil in January this year. Korea’s iron ore import prices averaged $75.77 per ton, cfr Chinese ports, in January, and $86.67 per ton in February respectively. These levels represent $6 per ton and $17 per ton higher than the average import prices last year.
In March, Korea’s iron ore import value sustained a considerable high rate of the middle end of $80 per ton range, pulling possibly down the ordinary steel slab production in March as a result.
The iron ore cash officials keep highest leading to a record high in the domestic import prices as well since the second quarter 2017 when the iron ore prices peaked. Korea’s import price of iron ore registered $81 per ton in March, outpacing $80 per ton posted in the first quarter 2017, recording a high. In April 2017, the iron ore prices were $83 per ton, $81 in May and $82 per ton in June keeping higher bullish market.
The present cash officials face shortages stemmed out of Vale remaining of concern over the additional short supply onwards. Hence, the valor over the iron ore prices is forecast to continue further beginning the second quarter this year.
Source: Steel&Metal News |
