- Indian importers turn away amid ample domestic supply
- Bangladesh books bulk volumes despite weak demand
Global ferrous scrap prices fell w-o-w, except in Turkiye. India and Pakistan were cautious this week, and Japan’s offers slipped on weaker Asian demand. Bangladesh booked sizeable volumes despite weak steel markets, while US prices rose slightly, supported by deals with Turkish importers.
Turkiye: Turkiye’s imported scrap market saw a slight uptrend this week, with US-origin HMS 80:20 closing at $345/t CFR, up 1% from last week. Mills cautiously returned to restock depleted inventories, but overall sentiment stayed cautious due to weak rebar demand, high energy costs, and competition from cheaper Chinese billets. Buyers mostly resisted higher scrap prices, hesitant to commit to large volumes amid uncertain finished steel sales.
Suppliers kept offers firm amid tight European scrap supply and a strong euro. EU and Baltic HMS was slightly lower at $335-342/t CFR, but mills booked cautiously, keeping trade slow.
This week, around 8-9 bookings were concluded for Turkiye, covering HMS 80:20, shredded/bonus, and mixed HMS 80:20 and PNS cargoes, with prices ranging between $341-345/t CFR.
India: India’s imported scrap market stayed sluggish all week, with UK-origin shredded closing the week at $360/t CFR, down 1% from last week’s $362/t, pressured by weak finished steel demand, monsoon disruptions, and ample domestic supply of sponge iron and scrap. Buyers remained cautious as falling rebar prices and freight uncertainties from geopolitical tensions added further hesitation to import decisions.
Pakistan: Pakistan’s imported scrap market stayed slow, with UK-origin shredded at $373/t CFR, down 1% from last week. Geopolitical tensions raised freight costs and caused shipment delays, keeping mills wary of large bookings. The proposed 5% duty on re-rollable scrap added uncertainty, leaving many buyers on the sidelines, waiting for clearer fiscal and policy signals.
Shredded offers from the UK/EU held mostly steady at $370-375/t CFR Qasim, while those from the UAE remained firm at a higher $385/t. HMS offers from the UAE stayed in the $360-368/t CFR range, but trade volumes were thin throughout the week.
Around 6,500-7,000 t of imported scrap, including shredded and HMS/LMS bundle mix, were booked for Port Qasim.
Bangladesh: Bangladesh’s imported scrap market stayed subdued despite sizeable volumes booked, with UK shredded at $368/t CFR, down 2%. Mills operated below capacity amid weak rebar sales and limited projects. Buyers kept purchases limited due to global uncertainties.
This week, BigMint recorded 8,000-9,000 t of containerised scrap booked for Bangladesh, including shredded, PNS, and HMS. Additionally, three bulk deals were heard: a Singapore cargo of 15,000-18,000 t and two US-origin HMS shipments totalling about 72,000 t, also including shredded and bonus grades.
Containerised shredded offers were $370-375/t CFR Chattogram, but buyers targeted $360-365/t. US West Coast bulk was $350/t for HMS and $355/t for shredded. Interest in Japanese H2 stayed low, as Bangladesh’s market remained subdued amid monsoon and weak construction demand.
Japan: Japanese H2 scrap export offers fell $7/t this week as Asian demand softened amid seasonal slowdowns and trade risks. Offers to Vietnam dropped to $315-317/t CFR, with bids near $310/t, while Bangladesh remained quiet at $340/t CFR. Yen volatility and US tariff threats kept suppliers cautious, pushing BigMint’s assessment of Tokyo Bay H2 prices down to JPY 40,500/t ($280/t).
Tokyo Steel announced its fourth June price cut, reducing prices at Tahara by JPY 500/t ($3/t), while tags at other plants stayed unchanged.
Vietnam: Vietnam’s scrap market stayed subdued amid weak steel margins and the rainy season slowdown. Japanese H2 fell to $315-317/t CFR towards the weekend, with bids near $310/t, as mills chose cheaper HMS. US HMS 80:20 offers dropped to $345/t CFR, but bids stayed lower. Traders expect quiet activity due to weak demand and wide price gaps.
South Korea: South Korea’s scrap market was subdued, as mills built stocks ahead of July maintenance. Inventories rose 8% to 793,000 t, but demand stayed weak. Mills such as SeAH Changwon and Korea Special Steel cut domestic scrap prices by KRW 10/t ($7/t), reflecting a bearish outlook.
US: US scrap export prices rose $6/t w-o-w, with Turkish deals lending support. Vietnamese and Bangladeshi mills stayed cautious on weak steel demand. The outlook is mixed, but sellers hope stronger finished steel prices in the US will sustain its domestic scrap markets.
Leave a Reply