- Bangladesh scrap market slow; LC issues, low bids persist
- Rebar sales sluggish; slight recovery expected post-Ramadan
Bangladesh’s imported scrap market faced a slow week, as it witnessed moderate inquiries with relatively lower workable levels. However, offers from Europe, Australia, Brazil, and the US remained high, and suppliers were reluctant to reduce them.
US-sourced HMS 80:20 bulk prices were up by $7/tonne (t) w-o-w, while tags of the same variant in containers from Europe edged up by $2/t.
Japanese-origin H2 bulk prices also increased, but European-origin containerised shredded witnessed a decline.
Rebar tags were stable despite continued slow sales in the project segment. Although buying interest was dull among end-users, a slight recovery is expected post-Ramadan.
BigMint’s weekly assessments
- European-origin containerised shredded inched down by $2/t w-o-w to $383/t.
- European-origin HMS (80:20) increased by $2/t w-o-w to $367/t.
- US-sourced HMS (80:20) bulk prices rose by $7/t w-o-w to $370/t.
- Japanese-origin H2 bulk prices stood at $358/t CFR Chattogram, increasing by $6/t w-o-w.
Bangladesh’s Chattogram market saw limited buyer interest, with containerised offers from Australia at $378/t for HMS and $385-388/t for shredded, while bids were lower at $370-372/t and $382/t, respectively. Southeast Asian PNS and busheling offers stood at $390-395/t, but buyers showed little response.
In the bulk scrap market, Japan’s H2 was offered at $355-356/t, with bids at $350/t, while HS at $385-390/t saw no buyer interest.
Market updates
“The Bangladesh market remains quiet, with slow letter of credit (LC) openings and reduced activity in the first couple of days of Ramadan. Malaysia PNS was offered at $390/t, with bids at $382/t. Hong Kong suppliers mostly did not offer shredded, focusing more on PNS, H-beams, and HMS,” said a major Chattogram-based trader.
As per a European scrap supplier, Bangladeshi buyers were cautious, bidding $5-7/t lower for PNS from Hong Kong/Malaysia/Singapore at $385-388/t and busheling from Malaysia/Korea at $395/t.
“Certain Dhaka-based mills preferred only bulk purchases, while others sourced via containers. We recently sold 8,000 t (5,000 t PNS and 3,000 t of shredded) to a Dhaka buyer in containers from Malaysia, Singapore, Australia, and New Zealand at $385-390/t CFR Chattogram,” said a US-based trader.
“Around 8,000 t of Singapore-based HMS (80:20) were sold at $360/t CFR Chattogram. Australian HMS offers remained at $360/t, with a slight improvement in LC conditions providing some relief. Market recovery is expected post-Ramadan,” highlighted a major Dhaka-based trader.
“Recently, there were no price revisions or rebates offered. Rebars were at BDT 87,000/t ($717/t) exw in Chattogram and BDT 83,000/t ($684/t) exw in Dhaka. Our buying has slightly improved from January 2025, but inventories are sufficient until March-April. Last month’s bookings were at around $365-375/t,” said a Chattogram-based steel mill representative.
Outlook
As per market insiders, global scrap prices are expected to remain firm as key suppliers hold their stance. This will likely keep offers elevated in the coming weeks into Bangladesh, despite limited buyer interest.
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