Bangladesh: Imported scrap prices soften w-o-w as cautious mills resist higher offers

• Weak long-steel demand limits local scrap buying
• Wide bid-offer gaps restrict fresh transactions

Bangladesh’s imported ferrous scrap prices softened during the assessment week ended 12 August 2026, as weak long-steel demand and limited construction activity kept mills focused on requirement-based procurement. Buyers continued to test cargoes from Australia, New Zealand, the Far East, and the US, but resistance to higher replacement costs limited fresh bookings and kept purchasing activity subdued.

The 7 August Kanto Tetsugen tender awarded 20,000 t of H2 scrap at JPY 49,086/t ($308/t) FAS, down JPY 3,422/t ($22/t) from the previous auction. The cargo is scheduled for shipment by 30 September to a Chattogram-based mill in Bangladesh.

BigMint’s weekly assessments, CFR Chattogram

• European-origin containerised HMS (80:20): $358/t, down by $5/t w-o-w
• European-origin containerised shredded: $390/t, down by $5/t w-o-w
• Japanese-origin bulk H2: $373/t, down by $2/t w-o-w
• US-origin bulk HMS (80:20): $390/t, down by by $4/t w-o-w

Market updates

Despite cautious buying, Bangladesh’s scrap market continued to see demand across HMS, PNS, and busheling, while MS turnings remained less preferred. However, weak construction activity and subdued long-steel sales continue to constrain mill procurement.

Australia/New Zealand-origin HMS 90:10 was offered at around $375/t CFR Chattogram, against bids of $360-365/t, leaving a wide gap. Australian shredded scrap was offered at around $400-410/t CFR, with limited buying interest.

UK-origin shredded scrap was offered at around $395/t CFR, while buyers countered at around $375-380/t. No deals were reported at these levels. Containerised activity remained broadly stable. Australia-origin HMS 80:20 was offered at $365-372/t CFR, while shredded scrap was quoted at $395-400/t against bids of $380-385/t. Brazil-origin HMS was heard at around $360/t CFR.

In the deep-sea segment, Australia/New Zealand-origin bulk cargoes were heard at $382-385/t CFR for HMS 80:20 and $392-395/t CFR for shredded scrap. US HMS 80:20 was offered at $390-395/t CFR against bids of $380-385/t.

Domestic market

The domestic ferrous scrap market remained stable, with buying activity largely unchanged. Local scrap prices were heard at BDT 49,000-52,000/t ($398-422/t). Rebar prices stood at BDT 82,000-84,000/t ($666-682/t) in Dhaka, depending on quality, while Chattogram rebar was around BDT 87,000-90,000/t ($707-731/t).

Weak construction activity and poor long-steel sales continued to weigh on scrap demand. Mills remained selective in procurement, with domestic scrap increasingly preferred where economically viable.

Outlook

Bangladesh’s imported scrap market is expected to remain largely stable in the near term. Wide bid-offer gaps and weak finished steel demand will likely restrict fresh bookings, while competitive domestic scrap and cautious mill procurement could keep import demand subdued. However, Bangladesh’s continued need for Far East, Australian and New Zealand cargoes should provide some underlying support.