South Africa: Ferrous Scrap Exports Fall 27% in Q1 2018

South African ferrous scrap exports remained concentrated to India and Pakistan occupying 86% share in total scrap exports in Q1’2018.

South Africa one of the leading scrap exporters has witnessed 27% decline in its ferrous scrap exports in Q1 2018 against exports recorded in Q1 2017 on Y-o-Y basis. As per recent customs data, South Africa exported 101,318 MT ferrous scrap in Q1’18 as against 139,099 MT ferrous scrap exports during Q1 2017.

On quarterly premises, South African scrap imports fell 18% Q-o-Q in Q1 2018 as against 123,659 MT ferrous scrap exports in during the fourth quarter of 2017.

Majority of the scrap exports made from South Africa have been done through major ports like Durban (40%), Johannesburg (33%), Pretoria (12%) and Port Elizabeth (8%) during Jan-Mar’18 respectively.

India stood as the largest importer of South African ferrous scrap in Q1’18 – India stepped up as the largest importer of South African ferrous scrap in Q1’18 surpassing Pakistan which was the largest importer last year. India imported 46,432 MT ferrous scrap, up 4% Y-o-Y as against 44,466 MT ferrous scrap in Q1-2017, followed by Pakistan (41,153 MT, -30% Y-o-Y), Taiwan (1652 MT, +100% Y-o-Y) and Indonesia (4,574 MT,-29% Y-o-Y).

Bangladesh has imported 3,425 MT ferrous scrap in Q1’2018 witnessing sharp fall by 76% Y-o-Y as against 14,116 MT in Q1’2017, while 92% fall as against 40,613 MT imports recorded in Q4’2017. Over slowdown in construction activities, Bangladesh scrap imports remained limited in Q1’2018.

South Africa witnessed 61% M-o-M growth in scrap exports in Mar’18 –

South Africa exported 45,386 MT ferrous scrap in Mar’18 while South Africa’s exports were recorded at 28,180 MT in Feb’18. The country witnessed significant growth by 61% M-o-M in ferrous scrap exports in Mar’18. South African ferrous scrap exports witnessed a fall of 18% Y-o-Y in Mar’18 as against 55,528 MT exports in Mar’17.

South African scrap exports could have increased in Mar’18 on increased demand from leading importers amid competitive prices than other exporters. Also, major importers preferred South Korean scrap in absence of largest scrap exporter USA on the imposition of section 232 tariffs on steel imports.

Pakistan scrap imports from South Africa nearly doubled and stood as the largest importer in Mar’18. Pakistan imported 19,574 MT scrap as against 9,261 MT in Feb’18. Indian imports increase 10% M-o-M while Indonesia and Bangladesh registered huge 515% and 1467% M-o-M growth in scrap imports from South Africa in Mar’18.

Pakistan and India occupied 43% & 40% share of total ferrous scrap exports from South Africa respectively in Mar’18.

Country-wise South Africa ferrous scrap exports –

Quantity In MT,
Source: SteelMint Stats