Scrap importers in Turkey continued deep sea cargo bookings at stable prices. Japanese scrap market observed slowdown in activities over golden week holidays. No revision in bids of Tokyo Steel was noticed while Taiwanese importers turned towards Japanese scrap amid limited US supplies. Currency depreciation in India, allowance of tankers in Pakistan’s ship cutting and a sharp decline in finish steel prices in Bangladesh remained the major dynamics of Asian scrap markets this week. Chinese steel mills raised local scrap buying prices over increasing offers in spot and export markets for billet and finish steel.
Turkey witnessed several trades as scrap buyers resume May bookings – This week importer in Turkey actively resumed bookings for remaining May shipments. Few deals concluded at lowered prices in the beginning of the week mostly from UK and Baltic origins. However, USA based suppliers kept offering at stable levels. Price assessment of HMS 1&2(80:20) for USA origin remained at USD 352-353/MT, CFR Turkey. In latest deals reported, a USA supplier sold HMS 1&2(80:20) at USD 353/MT, Shredded at USD 358/MT and P&S at USD 363/MT, CFR. While another supplier sold 23,000 MT HMS 1&2(80:20) at USD 352/MT and 5,500 MT Shredded at USD 357/MT and 6,500 MT Bonus at USD 362/MT, CFR Turkey.
China’s Shagang Steel raised scrap purchase prices by USD 16/MT – Shagang Jiangsu Steel mill increased its scrap purchase prices amid increasing export offers for billet and finished products from China. Shagang is now paying RMB 2,300/MT (USD 366) inclusive of 17% VAT for HMS (6-10 mm thickness) delivered to its headquarter work in Zhangjiagang province. Following Shagang’s lead, many of the eastern Chinese steel mills have increased scrap purchase prices by RMB 100-150/MT in provinces like Shangdong, Anhui, Tianjin and Fujian in China. Shagang also raised its long steel prices for shipment in late April. HRB400 16-25mm rebar assessed at RMB 3,940/MT, which was increased by RMB 120/MT (USD 19) from its last set of prices.
Pakistan steel mills remain active for scrap bookings before Ramadan holidays – Steel mills continued restocking scrap amid still low inventories in hand. Local markets observed price hike of PKR 1000-2000/MT(USD 9-18)) for finish steel and billet prices in Pakistan. Shredded 211 booked in containers from USA/UK based reliable recyclers at around USD 390-395/MT and from few traders at upto USD 390/MT on CFR port Qasim basis. Europe origin 500 MT Shredded sold at USD 386-387/MT, CFR levels. Offers for HMS 1 from UAE remained at USD 380-385/MT, CFR. Pakistan’s ship cutting market buoyed positive over reopening of tankers market for operations with increasing price expectations and supply side in the local market in Pakistan.
Indian scrap importers remain waiting amid stable offers – Indian imported scrap market witnessed fewer trades compared to last week although offers remained almost stable. Buyers remained cautiously away from buying in bulk volumes amid currency depreciation and kept waiting to get clear price direction in the global market. Indian Rupee depreciates to 13 month’s low against USD to INR 66.95 this Wednesday. Few trades for Shredded concluded at USD 387-390/MT, CFR in containers from UK while offers for the same from USA gauged stable W-o-W in the range of USD 390-395/MT, CFR Nhava Sheva. Price assessment for South African HMS 1&2 stood stable at USD 375-378/MT and Dubai origin HMS 1 at USD 377-380/MT, CFR Nhava Sheva. Minor trades for West African and European HMS concluded in the range of USD 355-365/MT, CFR depending on the quality of scrap.
Bangladesh scrap buyers turn silent on sharply declined rebar prices – This week witnessed sharp fall in the local rebar prices by BDT 2,500-3,000/MT (USD 30-36) W-o-W in Bangladesh, Decline in demand for rebar amid sluggish construction activities has also impacted inquiries as no major deal reported for imported scrap. Sufficient inventories of scrap are available along with easier accessibility from local ship breaking markets. Shredded scrap assessment from USA/UK in containers heard stable in the range of USD 400-405/MT, CFR Chittagong. While offers for P&S from Brazil assessed at around USD 410/MT, CFR. Ship breaking prices remained stable on W-o-W basis. Prices assessed at USD 420/LDT for general dry bulk cargo, at USD 430/LDT for tanker cargo and at USD 430/LDT for containers respectively on CNF Bangladesh basis.
Japanese domestic scrap prices inch up – Scrap exporters from Japan began to offer materials to Asian markets like Taiwan, Bangladesh and India amid sharply fallen demand from South Korean mills. South Korean Hyundai Steel kept bids suspended for Japanese scrap again for this week. According to price indices reported by Japan Iron and Steel Association, the average price index for H2 scrap inched up to around JPY 31,800/MT (USD 292) on W-o-W basis owing to restocking before the upcoming long holidays. For Kanto region, H2 scrap price index assessed at JPY 32,200/MT, up JPY 200/MT W-o-W and for Central at JPY 31,100/MT (USD 285).
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