- India’s sentiment turns positive after safeguard duty recommendation
- Turkiye’s scrap market gains momentum on firm seller positions, rising collection costs
South Asia’s imported scrap markets remained cautious, influenced by a mix of high stock levels, Ramadan-driven slowdowns, and buyer resistance to elevated offers. In India, market sentiment improved after the safeguard duty announcement, but actual buying remained limited. Pakistan’s market stayed subdued as mills operated at reduced capacity, awaiting price corrections post-Eid. Bangladesh saw weak demand, with buyers favouring nearby suppliers over costly UK/Europe-origin scrap.
Meanwhile, Turkiye’s scrap market gained momentum as firm seller positions and rising collection costs supported price stability. With demand still uncertain, market participants are closely watching for signs of recovery in the coming months.
UK-origin shredded scrap offers edged up by $1/t in India and Pakistan while remained unchanged in Bangladesh. US-origin bulk HMS 80:20 offers to Turkish remained unchanged d-o-d.
Overview
India: India’s imported scrap market remained slow as buyers held back due to high stock levels and cautious sentiment ahead of March year-end settlements. However, market sentiment turned positive post-safeguard duty announcements today, with expectations of a potential demand recovery in April-May.
Shredded scrap demand was limited, with buyers resisting offers above $375-380/t CFR, while suppliers held firm at $385-390/t CFR. A deal for 1,500 t of shredded scrap was concluded at $385/t CFR, reflecting a narrow buying range from buyers who have specific requirements.
PNS scrap saw bid-offer mismatches, with buyers at $375/t CFR and suppliers quoting $390/t CFR. Busheling scrap faced similar resistance, with buyers indicating $380-385/t CFR against supplier offers at $400/t CFR from the UK.
HMS 90:10 from Australia was offered at $365/t CFR Chennai, but buyers sought $355/t CFR. HMS 80:20 remained unviable, with UK/Europe offers at $355-360/t CFR while buyers bid $345-350/t CFR.
Other offers included Chilean HMS at $358/t CFR, Mauritius HMS at $345/t CFR, and South American HMS at $340/t CFR, though buying interest remained subdued.
Pakistan: Pakistan’s imported scrap market remained subdued as Ramadan slowed down industrial activity, with mills operating at reduced capacity. UK/EU-origin shredded offers ranged between $385-390/t CFR Qasim, but buyers were reluctant beyond $385/t. UAE shredded was quoted at $392-394/t CFR, with bids around $358-386/t CFR. Traders held back, waiting for price acceptance, while liquidity issues and weak finished steel sales kept sentiment cautious.
Rebar and billet prices stayed largely unchanged at PKR 240,000-243,000/t and PKR 210,000-211,000/t exw, respectively.
While sentiment turned slightly positive ahead of summer, market recovery is expected post-Eid, with demand potentially improving for renovation and small-scale infrastructure projects. However, liquidity challenges and falling rebar prices may continue to pressure mill margins.
Bangladesh: Bangladesh’s imported scrap market remained slow as buyers exercised caution amid high offers and sluggish demand during Ramadan. Interest in the UK/Europe-origin material was limited, with buyers focusing on nearshore suppliers like Australia, Hong Kong, Singapore, and Malaysia. Australian shredded was offered at $380-385/t CFR Chattogram, while HMS 90:10 stood at $365-367/t CFR. GI bundles from the Philippines were heard at $330-335/t CFR, but trading remained limited.
Turkiye: Turkiye’s imported scrap market edged higher as sellers remained firm on offer levels, supported by increased rebar prices and rising scrap collection costs in the Benelux region. US/Baltic-origin HMS 80:20 was pegged at $380-385/t CFR, with most tradable values clustering at the lower end. EU-origin HMS 80:20 offers stood at $375-380/t CFR, while sellers targeted $385/t CFR for US-origin material.
Recent deals included a US-origin cargo booked at $380/t CFR for HMS 80:20 and $400/t CFR for shredded scrap. Another EU-origin cargo was concluded at $375/t CFR for HMS 80:20 and $395/t CFR for bonus scrap. Market expectations point to further price gains, with short-sea scrap stable at $355/t CFR.
Price assessments
India: UK-origin shredded indicatives were assessed at $385/t CFR Nhava Sheva, up by $1/t d-o-d.
Pakistan: UK-origin shredded indicatives stood at $389/t CFR Qasim, up by $1/t compared to the previous day.
Bangladesh: UK-origin shredded indicatives stood at $391/t CFR Chattogram, unchanged d-o-d.
Turkiye: US-origin HMS (80:20) bulk scrap prices were assessed at $381/t CFR Turkiye, unchanged compared to the previous day.
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