Japan’s ferrous scrap export offers inched up on a weekly basis. However, trades are yet to pick up. SteelMint’s assessment for Japanese H2 scrap export now stands at JPY 41,000/t ($370) FoB, slightly up by JPY 250/t ($2) w-o-w.
South Korean buyers remain less active in bidding for Japanese scrap: Imported scrap trades remain slow this week from South Korean buyers. Interestingly a prominent Japanese scrap buyer- Hyundai Steel hasn’t presented bids for Japanese scrap purchase price this week.
A major steel mill- Daehan Steel has booked a Japanese bulk H2 scrap cargo this week. The deal was concluded at JPY 44,000/t CFR basis.
Rebound in Japanese offers to Bangladesh and Vietnam: A significant rebound in Japanese scrap export offers has been observed this week, following an uptrend in global scrap prices. Fresh offers of bulk H2 are being quoted at $445/t CFR levels, however, limited trades were reported in Vietnam. On the other hand, fresh offers for Japanese H2 for Bangladesh are now available at $465/t CFR levels. Sources highlighted that 18,000 t of bulk Japanese H2 scrap cargo has been booked recently by a Bangladesh based mill at $460-470/t CFR basis.
Tokyo Steel keeps domestic scrap purchase bids unchanged: Tokyo Steel kept its scrap purchase price unchanged this week. The company is now paying JPY 40,000/t ($367) for H2 scrap delivered at Utsunomiya work and JPY 41,000/t ($375) for its Tahara plant in Central Japan. Tokyo Steel’s prices have bottomed out and will stop falling further.
Outlook: Market participants believe that the offers will go up shortly. Whereas market insiders believe that the market will get a clear direction after the Kanto scrap export tender’s outcome, which is scheduled for next week.
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