- Weakening INR keeps Indian buyers on sidelines
- Pakistan, Bangladesh continue to battle liquidity worries
South Asia scrap markets remained subdued this week, with muted demand in India, Pakistan, and Bangladesh. Turkiye saw cautious buying despite bullish offers, while prices held mostly steady despite weak downstream steel demand and tight liquidity.
India: Imported scrap demand in India stayed subdued, with only minor a rise in inquiries as buyers sought to complete winter restocking before Western suppliers shut for the holidays. Caution prevailed amid the rupee weakening past 90. EU HMS 80:20 was assessed at $315-320/t, PNS at $340-345/t, while EU shredded offers were at $350-352/t CFR.
Pakistan: Imported scrap prices remained stable d-o-d supported by firm seller offers, while local market constraints and limited liquidity kept buying cautious. Furnaces operated at reduced rates, with muted raw material intake and weak downstream demand curbing aggressive winter restocking. EU shredded was valued at $356-358/t CFR, and UAE HMS 80:20 around $338-340/t.
Bangladesh: Imported scrap demand in Bangladesh remained subdued, with containerised HMS offers from Brazil at $330/t CFR, Malaysia Holo bundles at $325/t, Philippines GI bundles at $305-310/t, Singapore PNS at $370/t, Hong Kong PNS at $365/t, and Australia HMS at $345/t CFR, while domestic sentiment stayed weak on average finished steel demand.
Turkiye: Deepsea import scrap prices remained mostly flat on 8 Dec, as market activity slowed and participants awaited fresh deals to guide direction. Sellers maintained a bullish stance, targeting higher offers amid improved sentiment, but buying interest remained cautious. US-origin HMS 80:20 was offered at $370-373/t CFR, while EU and UK-origin HMS 80:20 stayed at $370/t CFR.
Although macro conditions remain supportive with high commodity prices and expected US rate cuts, buying stayed restrained, as $370/t CFR seemed too high given stabilised rebar demand, limiting actual transactions.
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