- Construction slowdown weighs on steel demand
- Mills prioritise quality over quantity in purchases
Bangladesh’s imported scrap prices remained range-bound w-o-w, with mills showing caution in fresh bookings amid a monsoon-led construction slowdown.
Australian scrap offers to Chattogram for HMS (80:20) were quoted at around $340-345/t CFR, with HMS 1 fetching $355-360/t. Shredded was in the $370-375/t range, and busheling touched $385-390/t.
From New Zealand, HMS 90:10 was at around $350/t CFR, shredded was slightly lower at $365/t, and HMS 80:20 was at $342/t.
PNS remained firm, with Hong Kong material at $380/t and Singapore at $382/t. Busheling from the Far East fetched $380-385/t, reflecting steady demand for prime grades. On the bulk side, bids for HMS 80:20 from Australia were at around $335/t CFR, while HMS 90:10 bids were slightly stronger at $345/t CFR.
BigMint’s weekly assessments
- European-origin HMS (80:20) price remained range-bound w-o-w at $353/t.
- European-origin containerised shredded inched up by $1/t w-o-w to $375/t.
- Japanese-origin H2 bulk prices stood at $342/t, up by $2/t w-o-w.
- US-sourced HMS (80:20) bulk prices stood at $355/t, up by $2/t w-o-w.
Domestic market
Domestic scrap prices in Bangladesh stayed firm, with general local grades at BDT 46,000-47,000/t ($379-387/t) and higher ones at BDT 49,000-50,000/t ($403-411/t). Material at BDT 46,000/t ($379/t) was reported as light, yielding about 25% less.
Billet prices in Dhaka stood at BDT 67,000/t ($551/t), while advance full-cash purchases were slightly lower at BDT 66,500/t ($547/t). Stability in billet and rebar prices reflected mills’ cautious procurement amid muted steel demand, while scrap buying remained selective based on quality.
Rebar prices ranged between BDT 82,000-83,000/t ($675-683/t) in Chattogram and BDT 78,000-80,000/t ($642-658/t) in Dhaka, with some feedback pointing to levels of BDT 76,000-77,000/t ($625-634/t).
Chattogram ship-breaking market quiet, but revival signs emerge
Bangladesh’s Chattogram ship recycling market has remained subdued since July, pressured by weak fundamentals, stalled infrastructure projects, and political uncertainty following the cancelled June elections. The slowdown that began in June 2024 persists.
However, a slight uptick was seen as four vessels, totalling over 30,000 light displacement tonnes (LDT), arrived recently, with HKC-certified yards re-entering bids. Chattogram Port received 30,225 LDT, up from 13,606 LDT in the previous week.
Outlook
Bangladesh’s scrap market is likely to stay cautious in the near term, with mills resisting higher offers amid weak demand and monsoon-hit construction. Buying may improve post-rains if offers ease or demand recovers, but any sharp import price rise could prolong procurement delays.
Leave a Reply