Global ferrous scrap market witnessed a downward trend for most of the major markets this week after a huge fall was witnessed in the Turkish import prices in its latest bulk booking, also inducing a free-fall in the offers to Asian markets also. Container bookings to South Asia remained slow while Bangladesh booked 2 more Bulk cargoes. China’s Shagang Steel and Japan’s Tokyo Steel kept their bids unchanged while Japanese Kansai Tender’s winning bid dropped by USD 9
Turkey: Imported scrap offers to Turkey moved down sharply by around USD 25/MT this week with the latest bulk booking, in which a Canada based recycler has sold a huge 50,000 MT bulk cargo to a western Marmara based steelmaker, comprising of 18,000 MT of HMS 1&2 (95:5), 20,000 MT of Shredded and 12,000 MT of P&S (Bonus grade) at an average price of USD 255/MT CFR Turkey.
SteelMint’s assessment for HMS 1&2 (80:20) from USA stands at USD 249/MT CFR Turkey, this week, down by over USD 20/MT against the opening of this week.
Japan: Japan’s Kansai tender for Mar’20 was concluded this week on 16th Mar, in which the winning bid was awarded a total of 5,200 MT of Japanese H2 at an average of JPY 21,825/MT (USD 205), FAS.
The bid price was lower by JPY 830/MT (USD 8) against the Kanto tender result concluded at JPY 22,655/MT (USD 217) on 11th Mar’20 for 30,000 MT of Japanese H2.
Japanese Tokyo Steel has kept its scrap purchase price bids unchanged this week. For H2 scrap delivered to Tahara plant in the central region remained at JPY 20,500/MT (USD 194).
South Korea: This week Hyundai Steel booked 90,000 MT of bulk Russian A3 scrap for June delivery, at an average of USD 247/MT CFR. Russian A3 scrap is being offered at lower level than Japanese HS scrap by USD 4/MT on a landed cost basis.
Another major South Korean steelmaker-Dongkuk steel has recently booked a 10,000 MT of Japanese H2 at below JPY 24,000/MT (USD 216) CFR South Korea level (around JPY 21500/MT FOB basis).
India: Trades for imported scrap to India turned very quiet in the latter half of this week, on the plunge at global level following Turkish prices collapse and COVID-19 fears. Most buyers were not binding in spite of a sharp fall in offers.
Assessment for Shredded scrap from USA/Europe now stands at USD 276-280/MT CFR Nhava Sheva, down by over USD 18/MT against last week, while falling by USD 10/MT from earlier this week. No major trades for Shredded scrap to India have been reported at these levels as yet, as the buyers are not reacting to any offers presently.
UK origin HMS 1&2 (80:20) now being reported at around USD 265/MT CFR, while Dubai origin HMS 1 (no ci gi) has now dropped to USD 280/MT CFR while HMS 1&2 offers from Dubai ranges between USD 270-275/MT depending on quality. HMS 1&2 from West Africa have now dropped to around USD 255/MT CFR.
Pakistan: Imported scrap Offers to Pakistan have dipped this week amid following a global downturn with slow buying activities, however, very few bookings were concluded.
SteelMint’s assessment for Shredded from European origin in the closing of the week stands at USD 278/MT CFR, down by USD 10-12/MT against earlier in the week.
Bangladesh: Bangladeshi buyers remained active and keep bulk scrap booking this week for the April-May shipments. In the latest deal concluded this week, a major EAF steelmaker in Chittagong booked a 32,000 MT bulk cargo from a US West Coast-based supplier, comprising entirely of Shredded scrap at USD 275/MT CFR Chittagong. The shipment for the cargo is expected for May’20.
Assessment for containerized Shredded from Europe & North America is being offered at around USD 285-286/MT CFR, while for HMS (80:20) is down to USD 265/MT.
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