As Bangladesh’s industry continues its fight against the covid-19, most of the smaller and medium mills continue to remain closed, while a few mills have resumed operating at 25% capacity with very limited work-force availability amid covid-19 risks. 3-4 larger mills are now operating at around 30-35% of normal production levels this week, on the back of some steel demand from government orders.
Imported scrap trades witnessed a slight improvement in activities this week in comparison to the quiet last week, while offers remained supported on slow supply from global origins.
SteelMint assessment for Shredded 211 from North America and Europe stands at USD 285/MT CFR Chittagong, up by USD 7-8/MT against last week, with a few deals being closed at this level, while fresh offers for Shredded were reported at USD 287-290/MT CFR, with buyers bidding at lower level. Few shredded bookings comprising a total 4,000 MT in containers was recently observed at USD 284-285/MT CFR.
HMS scrap also witnessed some trades, with around 3000 MT of HMS (90:10) sold for USD 264/MT CFR, and HMS (80:20) offers standing at around USD 260/MT CFR. Few deals of Brazil origin HMS (80:20) was reported at USD 265/MT, CFR levels, while some P&S trades were observed at USD 285-289/MT CFR.
On an overall basis, in spite of little improvement, buying has remained very slow with only 4-5 players actively participating in the market for booking through containers. As more plants slowly increase their production in coming weeks, improvement in demand may be witnessed.
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