After remaining quiet for the past few days, South East Asian markets have picked up following the uptrend seen in global prices.
Vietnam’s imported scrap prices have increased during the week on bullish sentiments. Japanese bulk scrap offers are on the higher side and are currently quoted at $480-490/t CFR Vietnam levels.
However, last week, a couple of trade deals were reported for Japanese H2 scrap at $480/t CFR basis. Many Vietnamese buyers are waiting for Japan to return from its holidays and sellers are waiting for the Kanto tender results scheduled on 11th May’21.
“Semis and long steel offers have increased on active Chinese buying. Billets prices have reached VND 15,800/g, ex-work and prices of rebar increased by VND 300/kg to VND 16,750/kg,” said a market participant.
SteelMint reported last week that the induction furnace (IF) route billets exports offer from India surged by around $70-80/t week-on-week (w-o-w) to $730-740/t, FoB.
- SteelMint’s assessment for Japanese H2 stands steady at $485/t CFR Vietnam, registering up by $5/t w-o-w.
- No firm offers were reported for US-origin bulk HMS. SteelMint’s assessment for US-origin bulk cargo stands at $487/t CFR Vietnam levels, up by $10/t w-o-w.
Japanese domestic scrap prices rise as Tokyo Steel lifts bid: Japan’s leading EAF mill, Tokyo Steel has announced its first price hike today for scrap purchase for May’21. The hike has been announced for all five plants by up to JPY 2,000/t ($18). The company would pay JPY 46,000/t ($422) and JPY 44,000/t ($403) respectively for H2 scrap delivered at its Tahara and Utsunomiya plants, effective tomorrow (11th May’21). The domestic scrap price hike is in line with the hike in export offers and active Chinese buying interest.
Bid prices in Indonesia climb up: Imported scrap prices in Indonesia have seen an increase after Labour Day and the Golden Week holidays in Japan. Offers have picked up by $20-25/t over last week.
Indicative imported scrap offers:
- PNS: $490-495/t CFR Jakarta
- HMS 1: $468/t CFR Jakarta
Imported scrap prices in Thailand up w-o-w: Last week, the market was closed due to the holidays. However, Central America-origin HMS 1&2 (80:20) is offered at $420/t CFR levels, up $10/t.
Taiwan’s scrap market absents in trades: Taiwan’s imported scrap offers have increased slightly on limited supply. No trade activities were observed during last week.
Recent offers:
- HMS 1&2 (80:20): $425-430/t CFR Kaohsiung
- Shredded 211: $435-440/t CFR Taichung
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