- Turkiye prices firm on tight scrap supply and strong rebar demand
- India demand cautious as weak rupee restricts buying activity
Global ferrous scrap prices remained mixed in the week ended 5 December, with prices in Turkiye firming on supply tightness and rebar strength. Buyers in South Asia remained cautious amid currency pressure and weak demand, while prices in Japan eased on a stronger yen. Prices in the UAE remained unchanged in the week.
Turkiye: Deepsea scrap price gained this week, supported by firm freight rates, higher collection costs, and strong rebar prices. EU-origin HMS 80:20 was assessed around $356-365/t CFR, while US-origin material ranged $362-372/t CFR. Limited seller availability and seasonal supply tightness reinforced upward momentum, despite cautious buyer activity earlier in the week.
Buying interest strengthened toward January shipments, with mills still short of monthly requirements. Short-sea cargoes, including Romania and France, were reported at $350-355/t, while shredded and HMS deals for Marmara ports traded higher, reflecting sustained bullish sentiment and tight market options.
India: Imported scrap market remained selective, with steady cargoes at Nhava Sheva, Mundra, and Chennai. Brazil HMS was $325-340/t CFR, turnings $300-305/t, and PNS $340-345/t, about $10-15/t below offer levels.
Demand improved slightly but remained cautious due to tight Australian supply, higher Turkish prices, and a weak INR near 90/USD. Offers were stable: EU shredded $350–352/t, Hong Kong PNS $360-365/t, Malaysian busheling $362-366/t, Australian shredded $348-352/t, while HMS bids held at $324-325/t CFR Chennai.
Some expect India’s imported scrap prices to rise amid bullish domestic sentiment, following GST action against scrap smuggling. Induction furnace producers continue receiving GST notices despite paying tax-inclusive prices, adding supply uncertainty.
Approximately 8,000 t of imported scrap has arrived in India, including about 6,300 t of HMS at $323-335/t and rest remaining shredded, busheling and turning & boring.
Pakistan: Imported scrap prices in Pakistan remained stable this week, with EU shredded at $352-358/t CFR Qasim and UAE HMS 80:20 at $335-340/t CFR. Domestic scrap held at PKR 136,000/t ($482/t). Trade stayed subdued as furnaces operated at lower capacity and winter restocking was cautious. Small billet lots traded below replacement levels amid limited liquidity and cautious buyer activity.
Bangladesh: Imported scrap demand remained subdued amid weak downstream demand and liquidity constraints, keeping buying limited. Bulk offers were largely unworkable despite firm sentiment, with Hong Kong PNS at $360/t CFR, Australia HMS 80:20 at $325-330/t, and Chile/Brazil HMS near $335/t. Local scrap edged up, but slow rebar sales and cautious mill activity continued to mute overall trade.
Japan: H2 scrap prices eased w-o-w to JPY 43,700/t ($283/t) FOB on a stronger yen. In Vietnam, H2 offers held at $325-330/t CFR (tradable $322-323/t), with demand remaining weak due to weather disruptions and a sluggish downstream steel market.
US: Export scrap prices climbed $6/t w-o-w to the highest since March, aided by lower freight and tight winter supply. FOB HMS reached $338/t and shredded $358/t, while CFR values rose to $369/t for Turkiye and $355/t for Bangladesh, with Turkish buying providing key support.
UAE: UAE scrap prices remained flat amid low activity, with processed HMS near AED 1,122/t and shredded at AED 1,150-1,170/t. Export offers drew little interest due to weak demand. In Saudi Arabia, higher rebar prices and year-end billet restocking slightly supported local scrap values.
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