Global scrap markets exhibit a mixed trend amid limited trading activities this week. Turkish scrap prices plunge in a single European cargo booked this week. On the other hand, East Asian scrap market finally showed signs of bottoming out. Hyundai Steel kept bids unchanged for Japanese scrap, Dongkuk Steel booked US cargo and Tokyo Steel held prices stable over this week. Scrap prices in South East countries like Vietnam, Indonesia and Taiwan inched down on falling billets offers. India, Pakistan and Bangladesh markets remained less working amid seasonality concerns and further expectation of price correction in the upcoming days. China’s Shagang steel raised scrap purchase prices on raising finish steel prices and production curbs.
Turkey imported scrap prices plunge in a recent deal – A steel mill based in Iskenderun region booked a European origin cargo, comprising 25,000 MT of HMS 1&2 (75:25), 7,000 MT of a mixture of Bonus and Shredded and 3000 MT of Busheling scrap at an average price of USD 285/MT, CFR Turkey. SteelMint’s price assessment for HMS 1&2 (80:20) from Europe stands at around USD 285-286/MT, CFR Turkey, and that of US origin at USD 292-293/MT, CFR. Recent trade pulled assessment sharply down by around USD 10-15/MT as against the last deal reported in the first week of December.
China’s Shagang Steel raises scrap purchase price by USD 12 – China’s largest scrap consumer, Shagang Steel increased scrap purchase price by RMB 80/MT on rising domestic finish steel prices amid new orders of capacity cuts. Shagang is paying RMB 2,600/MT (USD 376) inclusive of 16% VAT for HMS (6-10 mm thickness) in Zhangjiagang. Steel prices in China moved up on new production limits for environmental protection by RMB 30-50/MT this week.
Japanese domestic scrap prices stand stable, seem to have reached the bottom – Japan’s domestic scrap prices finally stopped price fall this week after almost 12 weeks’ time. Leading EAF steel mini-mill Tokyo Steel holds prices stable at JPY 30,500/MT at largest plant Tahara and JPY 31,500/MT (USD 283) at Utsunomiya plant in the Kanto region.
South Korean Hyundai Steel Keeps bid unchanged for Japanese scrap – Hyundai Steel kept bids for Japanese scrap unchanged at JPY 29,500/MT (USD 265), FoB as against last weeks’ report. According to reports, inventories of leading steelmakers in South Korea have come below 1 MnT mark the first time in the last 13 weeks’ period. Many steelmakers are adjusting their production with entry into the winter season.
South Korean Dongkuk Steel books US bulk scrap cargo at decline prices – Dongkuk Steel has contracted US bulk scrap cargo this week. Around 32,000 MT of HMS 1 scrap sold at around USD 316/MT, CFR South Korea which was USD 9/MT lower as against last weeks’ bulk contract by Hyundai Steel at USD 325/MT, CFR.
Vietnamese scrap prices edge down in recent trades – Vietnamese local steel mills surprisingly observed a sharp fall in billet offers this week following which scrap buying remained very limited. Price assessment of Japanese H2 and Hong Kong HMS 50:50 stand in the range USD 295-300/MT, CFR. HMS 1&2 (80:20) scrap stands at around USD 320-325/MT, CFR Vietnam from the USA and Europe.
Taiwanese scrap prices inch down further – Price assessment for USA origin HMS (80:20) stands at around USD 280-283/MT, CFR Taiwan in containers, inch down as against the last week’s report at USD 284-287/MT, CFR.
Indian imported scrap market turns quiet, buyers eye further correction – Indian imported scrap market continues silence on weak demand and volatility in domestic semi-finish and scrap prices this week. No buying interest is seen from buyers as they are eyeing for a further decline in prices on bearish global sentiments. SteelMint’s assessment for imported scrap hit more than 1 years’ low and fell by around USD 5-10/MT on W-o-W basis.
SteelMint’s assessment for containerized Shredded scrap stands in the range of USD 325-330/MT, CFR Nhava Sheva. Limited offers for HMS 1 heard at around USD 320-325/MT, CFR and assessment of West African HMS stands at around USD 305-310/MT, CFR.
Pakistan’s imported scrap offers fall, local scrap stands cost effective – Offers for containerized Shredded 211 from Europe and UK heard in the range USD 325-330/MT, CFR Qasim but buyers kept looking for USD 320-325/MT, CFR levels. Dubai origin HMS 1 is being offered in the range of USD 320-325/MT, CFR Qasim. Local scrap prices in Pakistan have come down by around USD 25-30/MT over this week. Local scrap equivalent to Shredded stands at around PKR 52,000-53,000/MT (USD 374-377) including all taxes. Many of the construction projects of CPEC which are on hold right now, would start after clearing audit from New Government next month. Local steel prices continue downtrend amid the possibility of production cuts by major steel mills to avoid forecasted losses on bearish sentiments.
Bangladesh imported scrap prices plunge in recent trades – Imported scrap market in Bangladesh remain more active as compared with other subcontinental markets this week. Offers for containerized Shredded 211 scrap reported in the range USD 340-350/MT, CFR Chittagong depending on origin. While HMS 1 and P&S assessed at around USD 330/MT and USD 345/MT, CFR. Bookings remained subdued ahead of general elections scheduled next week. Indian sponge iron export offers fall towards closing this week after a slight upturn in the mid of week which stands at USD 345-350/MT, CFR Chittagong.
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