South Asia: Imported scrap sentiment firms as all markets turn cautious on rising war-related risks

• India sentiment firmed slightly amid higher freight risks.
• Turkiye stayed steady with limited mill procurement activity.

South Asia saw firmer but cautious imported scrap sentiment on 3 March, as Middle East tensions lifted freight risks and disrupted flows. India, Bangladesh and Pakistan faced tighter offers and currency pressure, while Turkiye remained steady with limited mill appetite.

India: Imported scrap sentiment in India stayed cautious as workable levels lagged rising offers. A market participants noted the usual deltas holding-shredded about $12-13/t above HMS and busheling over $15/t higher. A Mozambique-origin HMS cargo (10% CI max) also facing delays to secure above $350-352/t. Appropriate workable ranges were heard at $350/t for HMS 80:20, $355-358/t for HMS 90:10, $365-368/ for shredded and $375-380/t for busheling on a CFR Mundra basis.

EU-origin offers continued rising on freight pressure from the US-Iran conflict affecting the Strait of Hormuz, with shredded heard at $378-380/t, HMS at $355/t, HMS 1 at $368-370/t and German busheling at $388-390/t CFR Nhava Sheva.

Bunker costs are expected to increase further, prompting suppliers to quote $5-10/t higher.

Bangladesh: Imported scrap sentiment strengthened as the US-Iran conflict disrupted supply chains. In Chattogram, PNS was offered around $388-390/t from Malaysia. Australian-origin offers into Bangladesh stayed steady to slightly higher, with workable levels heard at $355-365/t for HMS 80:20, $365-370/t for HMS 1, and $375-380/t for shredded. Buyers noted shredded quotes near $385/t as overpriced compared with the market.

Pakistan: The market stayed unsettled as Middle East disruptions and the US-Iran conflict slowed movements through the Strait of Hormuz, lifting oil and freight costs and tightening shredded availability. Import offers remained scarce, with no UAE quotations for Karachi/Qasim.

UK/EU suppliers were heard quoting above $385-390/t amid logistical constraints, while slowing port activity in the Middle East added pressure. Pakistan may face a larger impact if tensions escalate due to its reliance on UAE-linked supply routes.

Turkiye: Deep-sea imported scrap prices remained stable d-o-d on 3 March, with US-origin HMS 80:20 workable at $373-375/t CFR and EU/Baltic material at $368-373/t CFR..

Market sentiment, however, is cautious amid rising Middle East tensions. Rebar export offers continue to hover at $555-560/t, with limited fresh activity. Scrap sellers are resisting lower mill bids to defend prices.

A US (West Coast) cargo to Turkiye was concluded at $374/t for HMS 80:20 and $394/t for Bonus, finalized on Friday (27 February) just before the escalation of the Middle East conflict.