- Market yet to reopen fully after Eid lull
- Mills to return for bookings, but recovery remains gradual
Pakistan’s imported ferrous scrap market remained firm around the Eid period, with UK-origin shredded scrap offers circulating at $415-420/t CFR Qasim, supported by tight supply and limited spot availability. While offers held steady to higher levels, actual deal activity stayed thin as most participants remained away from the market.
EU-origin shredded scrap was assessed at $414/t CFR Qasim on 24 March 2026, rising by $6/t w-o-w.
Market participants expect a gradual recovery, with mills returning to the market to replenish inventories after the holiday pause. However, trading activity may take up to a week to normalise as buyers cautiously resume bookings.
A Karachi-based mill source shared that offers at $410-415/t CFR Qasim were available just before Eid, but “the market is still closed,” reflecting the lack of buying interest rather than any weakness in prices.
Shredded scrap prices were assessed at $412-420/t, with premium cargoes fetching higher levels depending on quality and origin.
A UK-based trader said, “The shredded market is around $415-420/t, but no major deals have been heard post-Eid,” showing limited transaction visibility despite firm offers.
Another UAE-based trader noted that UK scrap has become increasingly difficult to access, with supply concentrated among a few major players and offers heard near $415-420/t amid tight availability. Meanwhile, a Karachi-based mill source indicated that offers at $410-415/t CFR Qasim were available before Eid, but “the market is still closed,” reflecting delayed buying interest.
Logistics costs continued to exert upward pressure, with container charges from the UAE reported at around $2,000/unit. This translated into higher offer levels, with UAE-origin HMS heard at $445/t CFR Qasim.
The domestic steel market remained largely inactive during Eid. Pre-Eid levels were reported at PKR 145,000-150,000/t ($519-537/t) for scrap, PKR 215,000/t ($769/t) for billets, and PKR 245,000-250,000/t ($876-895/t) for rebar.
A Peshawar-based trader stated that the market was still closed, while another trader source added that although reopening is expected shortly, “it may take about a week for activity to normalise as participants gradually return.”
Pakistan’s ship-recycling market remained closed during the 21-23 March Eid holidays, with activity expected to resume gradually. Sentiment, however, has improved from the prolonged weakness seen at Gadani over the past year.
Market participants reported a mixed outlook, with firm demand for bulk carriers but limited deal visibility. Unconfirmed reports suggest Bangladesh booked cargo near $450/t, while India secured OFAC-compliant material. Steel plate prices remained stable at $592-595/t, while a steady rupee supported cost predictability. Middle East tensions may divert tonnage to Gadani, though protests continue to pose mild risks.
Outlook: Pakistan’s scrap market is expected to reopen gradually, with mills returning for bookings after Eid. Restocking demand may pick up amid ongoing supply chain disruptions, while weak domestic steel demand could weigh slightly in the near weeks. However, subdued finished steel demand and a slow post-holiday recovery may cap sharp price increases over the next 30-35 days.
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