Taiwan: Ferrous Scrap Imports Hit 19 Month High in Mar’18

As per recent customs data, Taiwan imported 308,522 MT ferrous scrap in Mar’18 as against 195,155 MT recorded in Feb’18. According to customs data maintained with SteelMint, earlier to this Taiwan had witnessed highest scrap imports in Aug’2016 recorded at 323,411 MT about 19 months ago. Thus, Taiwan’s ferrous scrap surged 19 months high in Mar’18.

Taiwan witnessed 58% M-o-M rise in Mar’18 amid the decline in imported scrap prices and increased scrap demand in the country. On yearly premises, Taiwan’s scrap imports ascent 39% Y-o-Y as against 221,390 MT ferrous scrap imports recorded in Mar’17.

Taiwan also witnessed an increase in billet purchases in Mar’18 and registered 39% M-o-M rise in billet imports in Mar’18. Billet imports stood at 327,872 MT as against 235,525 MT in Feb’18.

Imported scrap prices in Taiwan declined by USD 20/MT in Feb-Mar’18 –Taiwan witnessed a sharp fall in imported scrap prices in Feb’18 on plunged global prices. The monthly average import prices for USA origin HMS (80:20) moved down to USD 330/MT, CFR in Feb’17 as against USD 350/MT in Jan’17. Over which importers in Taiwan could have increased scrap imports in large volumes in Feb-Mar’18.However, average prices moved up further in Mar’18.

United States remained largest ferrous scrap supplier to Taiwan – In Mar’18, United States exported highest 137,195 MT ferrous scrap to Taiwan registering 35% M-o-M growth against 101,906 MT exports in Feb’18. Other prominent exporters were New Zealand (29,281 MT), Japan (25,106 MT, +79% M-o-M), Hong Kong (19,559 MT, increased five folds M-o-M) and Australia (13,668 MT, +10% M-o-M) respectively to Taiwan.

Taiwan scrap imports increased 18% Y-o-Y in Q1 2018 – Taiwan imported 0.72 MnT ferrous scrap during Q1 2018. It witnessed 18% Y-o-Y and 38% Q-o-Q growth in its scrap imports against 0.61 MnT scrap recorded in Q1 2017 and 0.52 MnT imports in Q4 2017.

During Q1 2018, United States remained the largest supplier occupying almost half share in total scrap imports to Taiwan. Followed by Japan (7%), Australia (6%), Hong Kong (6%), Canada (5%), Dominican Republic (5%) and New Zealand (4%) respectively.

Taiwan’s crude steel output stable in Mar’18 – According to the data released by World Steel Association, crude steel production in Taiwan stood stable M-o-M at 2 MnT in Mar’18 in line with steel produced in Feb’18.In Q1’2018 Taiwan produced 5.67 MnT steel against 5.75 MnT produced same period last year.

Country-wise Taiwan ferrous scrap imports –

Quantity In MnT,
Source: SteelMint Research