- Turkey’s imported scrap prices fall ahead of the Eid.
- China scrap buyers quiet this week.
- South Asian market turns inactive on upcoming Eid holidays.
- Turkey’s scrap import prices fall: Turkey’s imported scrap prices dropped this week following which scrap buyers turned active in the market. A total of four deals were concluded throughout this week. Turkish buyers are likely to book more shipments and restock before the Eid holidays. SteelMint’s assessment for US-origin HMS 1&2 (80:20) now stands at $485/tonne (t) CFR Turkey, falling significantly by $10-15/tonne (t) w-o-w.
- No trade in Japanese scrap market: The bid and offer discrepancy for HRS101 kept buyers away from the Japanese scrap market. Bids from China are hovering at around $530-540/t CFR levels. However, offers are on the same levels as last week at $570-600/t CFR. Chinese buyers are showing more interest in semi-finished steel instead of scrap, SteelMint learnt from market sources.
- Shagang scrap purchase prices unmoved: China’s largest electric-arc furnace (EAF) steelmaker, Jiangsu Shagang Group, kept its scrap purchase prices untouched this week as well, across grades. On 16 Jun’21, the company has increased prices by RMB 80/t ($12/t). Currently, the price of HMS (6-10 mm) was at RMB 3,770/t ($582/t), inclusive of 13% VAT, delivered to headquarters. Tight material availability and rising prices of finished steel lifted scrap purchase prices.
- Vietnam imported scrap prices on uptick: The Vietnam imported scrap market remained dull with few trades reported this week. Covid has impacted the finished steel market and discrepancies in bids and offers remained major factors behind the limited inquiries. Fresh offers for the bulk H2 were being cited at $495-505/t CFR levels, up $5-10/t against last week.
Meanwhile, domestic scrap prices in Vietnam moved up further by VND 500/kg ($22/t) on 16 Jul’21 due to limited scrap collection amid rising Covid. - Tokyo Steel scrap buying prices unchanged: Japan’s leading EAF steel mill, Tokyo Steel, has lowered its scrap purchase price on 10 Jul by JPY 500/t ($5/t) for two works – Tahara and Kushu. Currently, the company is paying a bid price for H2 scrap at JPY 51,000/t ($463) for the Tahara works, although prices remain unchanged for the other three works, including Utsunomiya. Prices have dropped after the Kanto tender result were concluded.
- Bangladesh bulk scrap market silent: Bulk scrap offers into Bangladesh are nil and the market continued to remain silent for two consecutive weeks with bulk cargo bookings absent. At present, demand is quiet and trading activities are likely to resume in another 10-14 days.
Containerized scrap market remained quiet this week too amidst ongoing Covid restrictions and the upcoming Eid holidays. Offers mostly range-bound on w-o-w with limited transactions reported at higher offers. UK/EU-origin shredded offers are being quoted at $560-565/tonne (t)CFR Chittagong basis, while no firm deal has been concluded. - Pakistan scrap market remains volatile: Imported scrap offers into Pakistan remained high, due to limited availability of shredded in the international market while high domestic demand kept the bookings on the upper side at the beginning of the week. Later, the market witnessed subdued trading, while buying has slowed down owing to the monsoon. No trade activities were observed in the second half of the week. The market may pick up after Eid.
SteelMint’s bi-weekly price assessment for shredded scrap stands at $546/t CFR Port Qasim, a drop of $4/t against the levels seen at the beginning of this week. - India market remains sluggish: The Indian market has slowed down for yet another week. There was almost no movement seen as Indian mills were not willing to accept the current prices owing to the disparity in the rates of domestic substitutes and the landed prices of the imported material.
However, it is expected that trade activities might pick up in Aug’21. SteelMint’s imported scrap price for the UK/EU-origin shredded are being quoted at $540-545/tonne (t) CFR Nhava Sheva levels, largely stable w-o-w.
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