East Asia: Ferrous scrap imports fall 11% y-o-y in H1CY’25; Japan’s exports rise 21%

• Vietnam emerges as largest buyer, volumes rise 7% y-o-y
• Taiwanese, South Korean imports drop amid weak demand

In the East Asian region, ferrous scrap imports by key regions — Vietnam, South Korea, Taiwan, and Indonesia — fell 11% to 4.77 million tonnes (mnt) in H1CY’25 against 5.35 mnt.

Meanwhile, Japan was the key supplier in the East Asian scrap market during H1CY’25, with exports rising 21% y-o-y to 3.71 mnt from 3.06 mnt.

Country-wise import scenario in H1CY’25

Vietnam records moderate 7% uptick: The leading importer was Vietnam, importing 2.62 mnt of ferrous scrap in H1CY’25, up 7% from 2.45 mnt in the same period last year. Its crude steel output rose 27% to 11.59 mnt, highlighting continued reliance on imports to support EAF operations.

Among key suppliers to Vietnam, Japan witnessed an uptick of 22% y-o-y to 1.67 mnt in H1CY’25. This consolidates Japan’s role as Vietnam’s dominant supplier, with nearly two-thirds market share. Meanwhile, US shipments increased 10% to 0.32 mnt, supplementing Japanese cargoes. On the other hand, imports from Hong Kong fell 36% y-o-y to 0.21 mnt, reflecting weaker competitiveness and limited availability.

Taiwan’s imports plunge 41% on weak steel demand: The second-largest scrap importer in H1CY’25 was Taiwan, whose imports dropped sharply by 41% to 0.88 mnt, amid weak rebar demand and reliance on domestic scrap. Taiwan’s crude steel output fell 11% to 8.73 mnt, necessitating lower consumption of scrap.

South Korea’s imports fall 23%, sourcing patterns shift: South Korea’s overall imports fell 23% to 0.76 mnt. Imports from Japan decreased by 25% to 0.57 mnt, while shipments from the US surged 83% by 0.11 mnt, reflecting shifting trade patterns.

Indonesian volumes rise on robust steel demand: Indonesia’s ferrous scrap imports rose 21% y-o-y to 0.51 mnt in H1CY’25 from 0.42 mnt, driven by infrastructure-led domestic steel demand.
Japan’s scrap exports rise over 20%

Japan’s exports climbed up by 21% y-o-y to 3.71 mnt, driven by subdued steel demand. The country’s crude steel production fell 5% y-o-y to 40.55 mnt in H1CY’25 from 42.7 mnt in the same period last year, reflecting lower requirement for steelmaking raw materials.

Vietnam remained the largest buyer, taking nearly half of these shipments, while Taiwan and South Korea saw a decline in imports amid softer demand.

• Vietnam: Exports to Vietnam climbed up by 22% to 1.68 mnt in H1CY’25. This shows Vietnam’s strong reliance on Japanese scrap, with the country accounting for nearly 50% of Japan’s shipments.
• South Korea: Japanese shipments to South Korea dropped 27% y-o-y to 0.58 mnt from 0.79 mnt.
• Bangladesh: Exports to Bangladesh surged 210% y-o-y to 0.65 mnt from 0.21 mnt, with buyers favouring mid-sized Japanese vessels for shorter transit times and lower capital costs.