- India’s import demand eases as buyers shift to local scrap
- Japan market firm, supply tight before holidays
Global ferrous scrap prices were mixed this week, with Turkiye and Japan stable, while India, Pakistan, Bangladesh, and Vietnam saw slight declines due to weak demand and sufficient inventories. UAE prices softened, though exports to Pakistan provided some support.
Turkiye: Turkiye’s deep-sea imported scrap market remained largely inactive this week with US origin HMS 80:20 averaged $347/t, nearly unchanged from last week’s $346/t., with prices holding steady amid cautious sentiment. US and Baltic-origin HMS 80:20 was assessed at $345-350/t CFR, while EU-origin ranged from $339-344/t CFR. Both mills and suppliers stayed on the sidelines, awaiting clarity in finished steel demand and currency stability.
Limited trading was seen as mills evaluated prior purchases, while financial strain among some producers, such as Alter Iron and Steel, further dampened sentiment.
India: India’s imported scrap market remained slow with shredded EU origin prices slipped 1% w-o-w to $364/t from $368/t this week as mills opted for domestic scrap due to better cost-efficiency and weak finished steel demand. Only limited deals were done, with most buyers hesitant to accept higher imported prices.
Pakistan: Pakistan’s imported scrap market remained sluggish as mills stayed inactive amid weak steel demand and sufficient bookings. UK-origin shredded averaged $380/t, down from $383/t. Offers stood at $380-385/t CFR, but deals were closer to $376-378/t. UAE-origin sheared HMS sold at $378/t, with selective buying for essentials. Regulatory uncertainty, including FBR’s digital invoicing mandate, further weighed on sentiment.
Domestic scrap stayed firm at PKR 138,000-140,000/t, but slow rebar sales and currency volatility kept buyers cautious and pressured mill margins.
Bangladesh: Bangladesh’s imported scrap market stayed sluggish as monsoon rains and weak demand limited buying. Mills showed little urgency to restock, with HMS 80:20 at $348-355/t CFR and shredded offers up to $375/t. Malaysian shredded was offered at $375-380/t, but bids remained lower at $365/t, reflecting buyer caution and limited trade.
Domestic scrap was offered at BDT 46,000-48,000/t ($395/t), while billet and rebar prices were stable. Europe-origin shredded scrap fell slightly to $373/t amid weak demand and minor price cuts in Chittagong.
Japan: Japan’s August Kanto tender rose JPY 172/t ($1/t) m-o-m, with a 20,000-t H2 lot sold to Vietnam’s VAS at JPY 41,888/t ($285/t) FAS. This implies nearly $295/t FOB and $320-325/t CFR Vietnam. The yen remained stable, limiting currency impact.
H2 export prices were assessed at JPY 41,700/t ($282/t) FOB Tokyo Bay, up JPY 1,000/t w-o-w. Market sentiment stayed firm due to tight scrap collection and support from Chinese demand. However, trade slowed ahead of Japan’s Mountain Day and Obon holidays.
Vietnam: Imported scrap prices fell as buyers stayed cautious. Japanese H2 was at $310/t CFR and US HMS 80:20 at $330/t, with trade limited by wide bid-offer gaps.
Domestically, Hoa Phat raised Sep HRC prices to $518/t on better demand, though overall steel sales remained slow.
UAE: UAE domestic HMS prices fell AED 16/t ($4/t) w-o-w to AED 1,205/t ($328/t) on weak demand. Exporters shifted focus to Pakistan amid duty cuts, supporting trade. HMS offers stood at $375-378/t and shredded at $390-400/t CFR Qasim.
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