- India market subdued amid weak demand
- Pakistan, Bangladesh face liquidity issues
The South Asian imported scrap market has seen subdued activity. In India, weak demand and abundant domestic supply kept buyers on the sidelines, while Pakistan’s market remained stagnant due to liquidity issues and the approaching Ramadan.
Bangladesh’s market also struggled as construction activity slowed, dampening scrap demand.
Meanwhile, Turkiye experienced a standstill in its imported scrap market, with mills hesitant to pay higher prices amid weak rebar sales and ongoing tariff pressures from the US.
Shredded scrap offers from the UK/Europe edged down by $5/tonne (t) in India, while remained unchanged in Pakistan and Bangladesh. US bulk HMS (80:20) offers to Turkiye also dipped by $1/t d-o-d.
Overview
India: Indian buyers remained inactive in the imported scrap market, as ample domestic supply and weak buying sentiment kept demand subdued. Indicative offers for shredded scrap from the UK/Europe stood at $375-380/t CFR Nhava Sheva, but buyers showed little interest. Similarly, HMS (80:20) offers from the UK/Europe and West Africa were heard at $345-355/t CFR, with limited inquiries.
A trader noted, “India is unlikely to step in unless prices improve in the next 7-10 days; otherwise, imports may stay sluggish for another 2-3 months.”
Another trader added, “The market is expected to remain quiet until the US tariffs are implemented on 12 March. After that, we could see some improvement, as the US will reduce steel imports, affecting exports as well.”
A market participant further emphasized, “With tariffs in place, the US will no longer be a viable option moving forward.”
Pakistan: Pakistan’s imported scrap market remained extremely quiet, with buyers staying on the sidelines amid weak liquidity and sluggish demand. No major transactions were reported, as mills avoided new purchases with Ramadan approaching, reluctant to take on additional liabilities.
Offers for Dubai HMS stood at $365/t CFR Qasim, while Dubai shredded was at $400/t CFR. UK/Europe shredded scrap was heard at $385-390/t CFR, with limited trades at $383-385/t.
Domestic rebar sales struggled due to delayed government payments and cash flow constraints. Local rebar prices ranged between PKR 235,000-245,000/t depending upon payment terms, while local scrap was heard at PKR 145,000-150,000/t.
Bangladesh: Bangladesh’s scrap market witnessed subdued activity as sluggish construction projects led to weak steel sales, keeping buyer interest limited.
Market participants reported PNS scrap offers from Hong Kong at $385-390/t CFR Chattogram, while materials from Singapore and Malaysia were priced at around $390/t CFR. Meanwhile, HMS 80:20 from Brazil was heard at $365/t CFR, reflecting cautious buying sentiment.
With lack of new government infrastructure projects and slow liquidity in the domestic steel sector, scrap demand remained under pressure, making traders hesitant to conclude fresh deals at prevailing price levels.
Turkiye: The Turkish imported ferrous scrap market remained range-bound with limited activity, as mills resisted paying higher prices amid slow rebar sales. US-origin bulk HMS (80:20) at $359/t CFR, were down $1/t on the day. Baltic-origin offers hovered between $355-360/t CFR, but US recyclers held back, favouring domestic markets due to the 25% tariffs.
Some EU-origin deals were heard at $350-351/t CFR but remained unconfirmed. Market sentiment suggested stability in the near term, with prices expected to fluctuate within the $350-360/t CFR range as mills and recyclers remained in a deadlock.
Price assessments
India: UK-origin shredded indicatives edged down by $5/t d-o-d to $375/t CFR Nhava Sheva.
Pakistan: UK-origin shredded indicatives were assessed unchanged d-o-d at $385/t CFR Qasim.
Bangladesh: UK-origin shredded was assessed stable d-o-d at $387/t CFR Chattogram.
Turkiye: US-origin HMS (80:20) bulk scrap prices were assessed at $359/t CFR Turkiye, down by $1/t d-o-d.
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