- Turkiye scrap dips on weak demand, high supply
- Eid holidays, weak demand hit scrap trade in Pakistan
The South Asian imported scrap market remained sluggish amid holidays, weak steel demand, and rising freight rates. Trade activity was limited across India, Pakistan, and Bangladesh, while Turkiye saw softer prices and cautious buying amid strong material availability and negative sentiment.
Market overview
India: The imported scrap market in India remained under pressure due to sluggish finished steel demand, with buyers staying cautious and trade activity remaining limited. Recent offers from Kuwait stood at $350-352/t for HMS and $360/t for HMS 1, delivered to the West Coast. Meanwhile, UK/EU-origin shredded scrap was offered at $375-380/t, and HMS around $350-355/t CFR.
Pakistan: The imported scrap market remained sluggish today, with limited trade amid weak finished steel demand and the approaching Eid al-Adha holidays. UK/EU offers were reported at $385-388/t CFR.
Domestic scrap prices stood at PKR 142,000-145,000/t, while Bala scrap ranged between PKR 190,000-193,000/t. Finished steel demand remained dull with limited operations as most labourers were away for the Eid holidays. Only one or two working days remain before the market closes.
Market activity is expected to gradually improve after mid-June.
Bangladesh: The imported scrap market showed signs of weakness ahead of the Eid holidays. Rising freight rates have become a growing concern for importers, further dampening buying interest. While market activity has slowed, price levels have largely remained stable over the past one to two weeks.
With the Eid holidays approaching, the market is expected to enter a 10-15 day pause. Offers remain steady, with shredded scrap at $385-390/t CFR and HMS 80:20 (UK/EU origin) at $362-365/t CFR.
Turkiye: Deepsea imported ferrous scrap prices dipped slightly d-o-d, with US/Baltic-origin HMS 80:20 at $342-344/t CFR and EU-origin HMS 80:20 at $335-338/t CFR. Despite the marginal decline, market sentiment remained largely negative due to ample material availability and weak buying interest from Turkish mills.
Bearish near-term outlook stems from falling collection costs and cautious mill behaviour, though the euro’s rise against the dollar and firm US seller prices may limit declines. A Baltic recycler noted $340-342/t CFR as a breakeven price but emphasised the importance of monitoring exchange rates for future market direction.
US recyclers stayed firm on offers amid a steel import tariff hike from 25-50%, showing resilience despite weak Turkish demand.
Price assessments
India: UK-origin shredded indicatives were assessed at $365/t CFR Nhava Sheva, stable compared to the last closing day.
Pakistan: UK-origin shredded indicatives stood at $381/t CFR Qasim, up by $1/t d-o-d.
Bangladesh: UK-origin shredded prices were assessed at $380/t CFR Chattogram, up by $3/t comparison with last closing.
Turkiye: US-origin HMS (80:20) bulk scrap prices were assessed at $342/t CFR Turkiye, down by $3/t d-o-d.
Leave a Reply