- Geopolitical tensions grip India, Pakistan scrap markets
- Turkish market sees recovery in US-origin deal
South Asia’s imported scrap markets remained largely subdued, with buyers across India, Pakistan, and Bangladesh showing limited interest amid geopolitical tensions, weak steel demand, and seasonal slowdowns. While Indian and Pakistani mills stayed cautious due to uncertain regional developments and domestic challenges, Bangladeshi buyers continued to hold back amid tight liquidity and high inventories.
In contrast, Turkiye’s market saw a mild rebound driven by seller firmness and a confirmed US-origin deal, offering a rare spark in an otherwise quiet regional landscape.
UK-origin shredded scrap offers held steady in India, declined by $4/t in Bangladesh, and saw a modest rise of around $3/t in Pakistan. Meanwhile, US-origin bulk HMS 80:20 offers to Turkiye inched up by $5/t d-o-d.
Overview
India: India’s imported scrap market stayed quiet as buyers remained on the sidelines amid geopolitical uncertainty and weak domestic steel demand. Shredded scrap offers were heard at $370-375/t CFR, but bids stayed lower at $360-365/t, limiting deal potential. EU HMS 80:20 was offered at $350-355/t CFR, with buyers resisting above $350/t.
Pakistan: Pakistani buyers remained inactive today, with no firm offers or bids emerging amid a market slowdown driven by rising geopolitical tensions with India. The domestic steel sector also stayed sluggish, with mills running at reduced capacity due to weak demand and stalled government projects.
Imported shredded scrap offers from the UK/Europe were heard at $370-373/t CFR Qasim, while buyer interest hovered between $365-371/t CFR. In the local market, scrap was priced at PKR 135,000-140,000/t ($483-500/t), while rebar prices ranged from PKR 230,000-240,000/t ($823-859/t), depending on quality and region.
Bangladesh: Bangladesh’s imported scrap market remained quiet as mills refrained from new bookings due to sluggish steel demand, cash flow constraints, and ample inventories. Offers for Australian shredded hovered at $375-380/t CFR Chattogram, but buyers countered with lower bids at $370-375/t, limiting trade activity. PNS scrap from Australia was offered at $380-385/t CFR, while busheling was quoted slightly higher at $385-390/t CFR.
Turkiye: The Turkish imported scrap market showed signs of recovery driven by stronger seller sentiment and rising collection costs in Europe. Sellers, particularly from the US and Baltic regions, raised offer levels, pushing premium HMS 80:20 prices up by $8/t to $338/t CFR. A US-origin deal at this level was reportedly booked by an Iskenderun mill, further supporting bullish sentiment.
However, buyer resistance persisted due to sluggish finished steel demand, with some mills hesitant to book fresh cargoes. Despite muted activity earlier in the week, the ex-US deal signaled potential for more deep-sea bookings ahead, as European sellers withdrew on high collection costs.
Price assessments
India: UK-origin shredded indicatives were assessed at $368/t CFR Nhava Sheva, unchanged d-o-d.
Pakistan: UK-origin shredded indicatives stood at $371/t CFR Qasim, up by $3/t d-o-d.
Bangladesh: UK-origin shredded prices edged down by $4/t d-o-d at $376/t CFR Chattogram.
Turkiye: US-origin HMS (80:20) bulk scrap prices were assessed at $338/t CFR Turkiye, up by $5/t d-o-d.
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