- July imports topped for second straight month.
- Japanese scrap dominated imports; US volumes declined sharply.
South Korea’s ferrous scrap imports remained above the 100,000-tonne mark for a second consecutive month in July. However, steelmakers continued to favour domestic scrap over imported material, limiting overall buying despite the higher import volumes.
July imports remain above 100,000 t despite monthly decline
Imports of general-purpose melting scrap stood at 107,282 tonnes (t) in July, down 26.4% from 145,766 t in June and 12.5% lower than the corresponding month last year. Nevertheless, it marked the first time in 2026 that monthly imports exceeded 100,000 t for two consecutive months.
Japan retains dominance; US shipments continue to fall
Japan remained South Korea’s largest scrap supplier, shipping 88,678 t during July despite a 20.2% y-o-y decline. Russian shipments increased 132.6% y-o-y to 12,386 t, while imports from the US fell to just 965 t.
Cumulative imports during January-July 2026 stood at 655,286 t, down 23.3% y-o-y. Japan accounted for 575,223 t, or 87.8% of total imports, followed by Russia at 36,553 t. US-origin imports plunged 91.1% to 9,684 t, reducing their share from 12.8% last year to just 1.5%.
Import prices extend gains
The average ferrous scrap import price rose to $395/t in July, up $14/t or 3.7% from June, marking the ninth consecutive monthly increase since reaching a low of $319/t in October 2025. Japanese scrap averaged $381/t, while Russian material averaged $367/t.
Mills continue to favour domestic scrap
Despite imports remaining above 100,000 t for two consecutive months, South Korean steelmakers continued to avoid aggressive overseas purchases. Market participants attributed the cautious buying to higher import costs and weak steel demand, with mills continuing to prioritise domestic scrap procurement over imported cargoes.
Note: This article has been published in accordance with a content exchange agreement between SteelDaily and BigMint.
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