- Turkiye: Deep-sea scrap prices rise on renewed mill bookings
- UAE: Domestic scrap prices stable; August correction widely expected
Global ferrous scrap, 25 Jul: Turkiye and Pakistan markets strengthened on improved buying and firmer shredded prices, while India and Bangladesh remained subdued amid weak steel demand. Japan’s export prices softened following Tokyo Steel’s price cut, and UAE sentiment turned bearish on expectations of lower domestic scrap prices from August.
Turkiye: Imported deep-sea ferrous scrap market improved over the week after a subdued start, as mills gradually resumed bookings following a modest recovery in domestic rebar prices. Benchmark US-origin HMS 80:20 rose from tradable levels of $366-370/t CFR early in the week to $376/t CFR by Friday, supported by renewed buying for August-September shipments.
Higher freight costs from the US and Europe, tighter European scrap availability due to low Rhine River water levels, and firmer domestic rebar export offers of $575-585/t FOB continued to support seller sentiment. However, market participants remained cautious, noting that sustained price gains will depend on a meaningful recovery in finished steel demand.
India: Imported ferrous scrap market remained subdued during the week as weak steel demand, ample domestic scrap availability, and poor import viability continued to curb buying interest. Mills restricted imports to immediate requirements, while the monsoon season, a weaker rupee, and geopolitical uncertainties weighed on sentiment. Higher crude oil prices also lifted US container freight to $1,300-1,400, providing limited support to import offers.
Pakistan: Imported ferrous scrap market strengthened during the week as higher UK yard prices, firm freight costs, and tighter summer scrap availability lifted offer levels. However, weak steel demand kept mill buying cautious and largely need-based.
UK/EU-origin shredded scrap offers increased to $410-415/t CFR Port Qasim, while Malaysian-origin busheling was offered at $430-435/t CFR and PNS at $425/t CFR. Buyers maintained workable bids at $390-395/t CFR, keeping a wide bid-offer gap. Domestic scrap was heard at PKR 150,000-153,000/t ($539-550/t), billet at PKR 213,000-215,000/t ($765-772/t), and rebar remained stable at PKR 243,000-245,000/t ($877-880/t).
Trading activity improved, with around 6,500-7,000 t of UK-origin shredded scrap booked at $400-410/t CFR Port Qasim.
Bangladesh: Imported ferrous scrap market remained under pressure throughout the week as weak finished steel demand, monsoon disruptions, and persistent liquidity and letter of credit (LC) constraints curbed buying interest. Mills continued need-based procurement, with imported scrap prices softening by around $10/t w-o-w.
Containerised shredded scrap was heard at $365-370/t CFR Chattogram, Australia/US-origin HMS 90:10 at around $380/t CFR, and Central America-origin HMS 80:20 bids near $350/t CFR, while no fresh import deals were reported towards the week’s end.
Japan: Japan’s scrap market softened during the week after Tokyo Steel reduced H2 scrap purchase prices by JPY 500/t at its Utsunomiya Plant and Tokyo Bay Satellite, lowering buying prices to JPY 52,000/t and JPY 51,500/t, respectively. Meanwhile, FOB Tokyo Bay H2 export prices fell by JPY 1,450/t w-o-w to JPY 50,800/t ($310/t), reflecting weaker export market sentiment.
UAE: The UAE’s domestic ferrous scrap market remained stable during the week, with processed HMS 80:20 at AED 1,009-1,010/t DAP. However, sentiment weakened as improving domestic scrap availability and weak steel demand fuelled expectations of a price correction from August.
Leave a Reply