- Turkiye’s mills hold back on weak rebar sales
- India’s imported scrap trade slows amid bid-offer gaps
South Asia’s imported scrap markets remained cautious as buyers grappled with firm offers, liquidity constraints, and festive slowdowns. In India, trade stagnated due to bid-offer mismatches, while Pakistan’s market saw minimal activity with Ramadan and Eid holidays limiting demand. Bangladeshi buyers resisted high offers, with LC restrictions adding pressure. Meanwhile, Turkiye’s scrap market softened as mills hesitated amid weak rebar sales and political uncertainties.
UK-origin shredded scrap offers edged up $2/t in India while remaining unchanged d-o-d in Pakistan and Bangladesh. US-origin HMS 80:20 offers to Turkiye edged down by $1/t d-o-d.
Overview
India: India’s imported scrap market showed a mixed trend as bid-offer mismatches persisted despite steady domestic steel demand. Buyers displayed interest, but firm offers kept transactions limited, with shredded scrap offers at $390-395/t CFR and bids at $385-388/t. HMS 80:20 from UK/Europe and West Africa was quoted at $360-370/t CFR, but buyers aimed for $355-360/t.
Sellers favoured Pakistan for better price realisation, while ample domestic sponge iron supply curbed scrap demand in India. The market awaits clearer direction amid rising Turkish scrap prices.
Meanwhile, a US bulk vessel arrived with 20,000 t of shredded sold at $395/t CFR, 2,000 t of bonus at $402/t CFR Kandla, while 1,000 t bonus and 7,000 t HMS 90:10 remained unsold.
Pakistan: Pakistan’s imported scrap market remained subdued as Ramadan and the upcoming Eid holidays kept buyers on the sidelines. UK-origin shredded offers rose to $395-400/t CFR Qasim, but tradable levels hovered around $390-395/t. Limited LC approvals and tight liquidity further dampened interest. Domestic scrap shortages pushed up prices to PKR 144,000-146,000/t exw, narrowing the scrap-to-rebar spread below PKR 95,000/t. Mills operated at reduced capacity, and market activity is expected to pick up post-Eid, though high global scrap prices and LC constraints may limit a sharp recovery.
Bangladesh: Bangladesh’s imported scrap market remained sluggish as buyers resisted high offers, creating a $5-7/t gap. Limited LC approvals previously kept domestic scrap prices firm, but with Eid approaching and a 10-day halt in new LCs, prices may soften. Deals included PNS from Hong Kong at $390/t CFR and Australian shredded at $390/t CFR, while buyers sought Australian HMS 80:20 at $364-365/t. Demand for UK/Europe-origin scrap weakened as buyers preferred nearshore suppliers. With Ramadan slowing activity, mills are expected to gradually return post-Eid, though a strong rebound remains uncertain due to weak fundamentals.
Turkiye: The Turkish imported scrap market edged lower as mills held back purchases amid weak rebar sales and domestic unrest. Buyers resisted high offers, keeping bids subdued. US-origin HMS 80:20 was assessed at $382/t CFR, down $1/t d-o-d, while EU material saw bids below $375/t CFR. Sellers faced firm collection costs but remained cautious, awaiting updates on tariffs and trade standoffs and political stability in Turkiye. With April bookings running out of time, the market hovered at a tipping point, balancing caution with material demand.
Market participants noted, “Some negotiations are ongoing, but mills show little interest as rebar exports remain under pressure. Political concerns keep Turkiye preoccupied. Buyers are eyeing $374-375/t, with some stretching it to $378/t, but US suppliers hold firm at $384-385/t. Demand for EU material has softened to $370-372/t against offers at $375-378/t.”
Price assessments
India: UK-origin shredded indicatives were assessed at $390/t CFR Nhava Sheva, up by $2/t d-o-d.
Pakistan: UK-origin shredded indicatives stood at $394/t CFR Qasim, unchanged d-o-d.
Bangladesh: UK-origin shredded indicatives remained unchanged d-o-d to $395/t CFR Chattogram.
Turkiye: US-origin HMS (80:20) bulk scrap prices were assessed at $382/t CFR Turkiye, down by $1/t d-o-d
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