- Turkish scrap prices increase amid stronger euro
- Indian buyers silent on weak demand, tight liquidity
South Asia’s imported scrap market remained largely subdued, amid weak demand, tight liquidity, and the ongoing Ramadan period, which have limited trade across key regions. In India, buyers remained cautious due to a widening bid-offer gap and sufficient domestic scrap availability. Pakistan faced further pressure from liquidity constraints and sluggish steel demand, with mills resisting higher offers. Meanwhile, Bangladesh’s market saw slow LC openings and limited deep-sea inquiries, keeping sentiment muted.
In contrast, Turkiye’s imported scrap market gained momentum as mills actively restocked amid bullish sentiment and a strengthening euro.
UK-origin shredded scrap offers edged down by $1/t d-o-d in India and Pakistan while edging up by $2/t in Bangladesh. US bulk HMS (80:20) offers to Turkiye rose sharply by $9/t d-o-d.
Overview
India: India’s imported scrap market remained muted as weak demand, tight liquidity, and a widening bid-offer gap slowed trading. UK/European shredded was heard at $375-380/t CFR Nhava Sheva, but buyers kept bids lower at $365-370/t, while HMS (80:20) offers stood at $350-355/t CFR. No firm offers emerged from the US due to high freight rates and unviable pricing.
Pakistan: Pakistan’s imported scrap market remained slow as Ramadan slowed buying activity, exacerbated by weak liquidity and subdued steel demand. Mills resisted high offers, keeping bids below seller expectations. UK/European shredded was offered at $380-385/t CFR Qasim, but buyers targeted $375-378/t, while UAE-origin shredded stood at $385-390/t CFR, with some room for negotiation. HMS hovered at around $358/t CFR, while domestic scrap prices remained weak.
With rebar sales sluggish and production at reduced levels, market activity is expected to stay muted until after Ramadan, when demand may gradually improve.
Bangladesh: Bangladesh’s imported scrap market remained sluggish as Ramadan dampened buying interest and LC openings progressed slowly. Buyers resisted high offers, with Australian shredded at $380-385/t CFR while HMS 80:20 stood at $360-365/t CFR. Hong Kong PNS was at $375-380/t CFR.
Deep-sea bulk inquiries were limited, as weak construction activity kept sentiment muted.
Malaysian busheling was offered at $385-390/t CFR, but the price gap between bids and offers remained wide, making deals difficult.
Despite slight improvements in LC conditions, traders expect market recovery only after Ramadan, with overall demand likely to remain subdued in the near term.
Turkiye: The Turkish imported scrap market saw an uptick as mills restocked amid bullish sentiment from recyclers. Offers for US-origin bulk HMS (80:20) rose to $376/t CFR, up $9/t d-o-d, driven by firm offers from US and EU suppliers. A US-origin deal was confirmed at $376/t CFR for HMS 1/2 (85:15), with shredded and bonus scrap at $393.50/t CFR. EU-origin offers climbed due to a strengthening euro, while improving Turkish domestic rebar demand, supported by an interest rate cut, fuelled optimism. Multiple deals were booked from the UK, EU, and Baltic suppliers, reinforcing expectations of further price gains.
- US-origin to Aegean-based mill: HMS 85:15 at $376/t and shredded at $393.5/t.
- UK-origin to Mediterranean-based mill: HMS 80:20 at $360/t and bonus at $380/t.
- Baltic-origin to Aegean-based mill: HMS 90:10 at $370/t and bonus at $393/t.
- EU-origin to West Marmara-based mill: HMS 80:20 at $365.5/t and bonus at $388/t.
Price assessments
India: UK-origin shredded indicatives were assessed down by $1/t d-o-d at $375/t CFR Nhava Sheva.
Pakistan: UK-origin shredded indicatives stood at $381/t CFR Qasim, down by $1/t d-o-d.
Bangladesh: UK-origin shredded indicatives inched up by $2/t d-o-d to $386/t CFR Chattogram.
Turkiye: US-origin HMS (80:20) bulk scrap prices rose by $9/t d-o-d to $376/t CFR Turkiye.
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