- Japanese H2 scrap prices slip, US HMS gains slightly
- Container freight rates from Australia remain firm
Bangladesh’s imported scrap market showed a mixed price trend, with weak rebar sales during the monsoon dampening buying sentiment. Mills are cautious about fresh bulk bookings, opting for a wait-and-watch approach before committing to high-volume purchases.
BigMint’s weekly assessments
- European-origin HMS (80:20) prices inched up by $1/t to $355/t.
- European-origin containerised shredded rose $2/t w-o-w to $372/t.
- Japanese-origin H2 bulk prices stood at $340/t CFR Chattogram, down $3/t w-o-w.
- US-sourced HMS (80:20) bulk prices stood at $351/t, up by $2/t w-o-w.
Market sentiment
“Container freight rates from Australia to Chattogram are currently around $1,450-1,500 per 20ft container and about $1,600 for 40ft. But if you need quick space, you are looking at around $1,700 for a 40ft container,” an Australian scrap supplier informed.
“$335-340/t CFR seems doable for H2 bulk from Japan, but honestly, I have not heard of any solid inquiries from Chattogram buyers recently. The domestic market is dull–rebar movement is slow amid heavy rainfall. Chattogram-based major mill is still quoting quite high at BDT 85,000-87,000/t ($701-718/t), while Dhaka market levels are closer to BDT 78,000-79,000/t ($644-652/t). About a week ago, there was a US bulk offer for HMS 80:20 at $355/t, and Japanese HS and Shindachi came in at $368/t CFR. But we’re still bidding roughly $10 below those levels.” — Bulk scrap trader, Chattogram.
Recent deals
- PNS (Singapore): 2,000 t at $376/t CFR Chattogram
- PNS (Malaysia): 3,000 t at $376/t CFR CFR Chattogram
- Shredded (Australia): 2,500 t at $372-373/t CFR Chattogram
- HMS 1 (Australia): 1,000 t at $355/t CFR Chattogram
Indicatives from Australia are also floating at around $345-350/t for HMS 80:20 and HMS 90:10 at $350-355/t, while shredded is at around $370/t.
“On the local scrap side, ship-cutting scrap prices remain steady: PNS and steel-cutting scrap are around BDT 55,000-56,000/t ($454-463/t), while general scrap is at BDT 50,000/t ($413/t). Billet prices are at BDT 70,000/t ($578/t), and rebar is trading between BDT 72,000-80,000/t ($595-661/t) ex-works in Dhaka. Chattogram mills are quoting as high as BDT 85,000-87,000/t ($702-719/t) recently, but did not receive much buyer response,” a steel trader from Chattogram said.
“Reported rebar deals from factories are mixed in Dhaka: some are quoting at around BDT 81,000/t ($670/t), while newer ones are down to BDT 78,000/t ($646/t). Aussie HMS 80:20 is being offered at $354-355/t, but bids are mostly stuck below $350/t. PNS and busheling from Singapore and Malaysia are offered at $380-385/t, though buying interest is capped at $375-378/t.”– Market insider, Dhaka.
Chattogram ship recycling slows
Bangladesh’s ship recycling market hit a low, with deals below $400/LDT amid monsoon disruption, weak steel demand, and regulatory confusion. Only 12 yards are HKC-certified, adding to the slowdown. However, a slight rise in plate prices to $550-552/t, a stronger Taka, and the arrival of a new LNG vessel offer some optimism. Ship arrivals fell sharply to 4,2014 LDT from 43,532 LDT the previous week.
Outlook
Bangladesh’s scrap market may stay slow amid weak demand and the monsoon impact. Mills will remain cautious as limited recovery is expected until after monsoon, when demand might improve and regulatory clarity may support ship recycling activity.
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