In - depth Exploration of the Tricks in Imported Steel Bar Prices

"For the same steel bars, why can the import agency prices differ by 20%?" This was the question Mr. Zhang raised at the purchasing meeting last week. As a practitioner in the construction industry, are you also often troubled by the price fluctuations of imported steel bars? Today, we will take you to deeply analyze the formation logic of the agency prices of imported steel bars, helping you master the initiative in purchasing decisions.

Raw material cost is the basic anchor point of the price. Taking hot - rolled ribbed steel bars as an example, for every $10 increase per ton in the international iron ore price, the cost of arrival at the port will increase by approximately 3%. In the second quarter of 2023, the quarterly pricing adjustment of Australian mining enterprises directly led to an 8% fluctuation in the port - arrival price in the East Asian region.

The hidden costs in the transportation link are often underestimated:

• Shipping surcharges (low - sulfur fuel surcharge + war risk surcharge) account for 15% - 25% of the freight
• Port container demurrage (an average of $200 - $400 per day)
• Letter of credit opening cost (0.25% - 1.5% of the cargo value)

Data from Zhongshitong Supply Chain shows that the comprehensive service fees of regular agents usually cover:

• Customs declaration and inspection (0.8% - 1.2% of the cargo value)
• Warehousing and distribution ($30 - $50 per ton per month)
• Quality traceability (about $5000 per batch)

Ms. Li's lesson is worthy of vigilance: An agent offered a price 12% lower than the market price, but finally delivered a mixed - loaded non - standard product. It is recommended to pay special attention to:

• Whether a factory - issued quality certificate (with the steel mill's seal) is provided
• Payment method (the proportion of T/T should not be less than 30%)
• Minimum order quantity (regular agents usually require ≥ 500 tons)
• Historical transaction records (at least 3 successful cases are required to be provided)

Combined with the latest report of the World Steel Association (WSA), it is expected:

• In Q3, driven by the infrastructure demand in Southeast Asia, it may increase by 5% - 8%
• In Q4, with the commissioning of new mining areas in Brazil, it may be adjusted back by 3% - 5%

When you are comparing the quotation sheets of different agents, you might as well ask: Does this price truly reflect the full - process value? Welcome to share your purchasing experience in the comment section. We will select three readers to provide free supply chain audit services.