United States: Ferrous Scrap Exports Rise 27% in H1 2018

Indian and Bangladesh scrap imports rise 71% and 105% from US while Chinese imports plunge considerably in H1 2018.

United States – world’s second largest exporter of ferrous scrap after EU-28 has witnessed rise in its scrap exports by 27% Y-o-Y in H1’2018 as against exports recorded in H1’2017. As per recent customs data, United States exported 8.23 MnT ferrous scrap in during Jan-Jun’18 as against 6.48 MnT ferrous scrap during Jan-Jun’17.

Rising scrap based crude steel productions in major importuning countries has led to an increase in scrap purchase activities from USA in H1 2018. Despite of decent increase in average scrap export prices from USA in H1’18 as against H1’17, strong demand for US scrap has resulted in rising imports from scrap importers.

Top loading ports in US for scrap shipping activities in H1 2018 were Los Angeles (1.57 MnT), New York City (1.27 MnT), San Francisco (0.79 MnT), Laredo (0.55 MnT), Philadelphia (0.49 MnT), Boston (0.46 MnT) and Seattle (0.43 MnT).

Turkey remained largest importer in H1’2018 – Turkey imported 1.67 MnT ferrous scrap occupying 20% share of total scrap exports from USA. Turkey remained largest scrap importer witnessing a significant increase of 24% Y-o-Y as against 1.35 MnT during Jan-Jun’17.

Mexico stood as the second largest importer with 1.08 MnT ferrous scrap, up 20% Y-o-Y. While Taiwan remained third largest importer occupying 12% share of USA scrap exports in H1 2018.

Indian scrap imports from US increased 71% Y-o-Y in H1 2018. India imported 0.58 MnT ferrous scrap in Jan-Jun’18 as against 0.34 MnT recorded in same period last year. India stood up at the fourth largest importer position surpassing China.

Chinese scrap imports fell 11% to 0.42 MnT in H1 2018 amid stricter trade and inspection regulations in the country. Followed by other prominent importers like Canada (0.42 MnT, +5% Y-o-Y), Vietnam (0.40 MnT, +33% Y-o-Y), and Bangladesh (0.37 MnT, 105% Y-o-Y) respectively.

USA scrap exports fell 24% M-o-M in Jun’18 – United States exported 1,163,542 MT ferrous scrap in Jun’18 as against 1,533,168 MT exports recorded in May’18. On yearly premises, exports declined marginally by 8% Y-o-Y as against 1,264,287 MT exports recorded in Jun’17.

Turkey and Mexico imported 0.15 MnT each occupying 13% share in total US scrap exports in Jun’18. South Korean scrap imports rise 160% M-o-M to 0.13 MnT ferrous scrap in Jun’18 as against 0.05 MnT in May’18. Similarly Vietnam (0.08 MnT) and Bangladesh (0.07 MnT) witnessed 60% and 133% rise on M-o-M basis while other major importers like Taiwan (0.14 MnT), India (0.05 MnT), Canada (0.07 MnT) and China (0.01 MnT) observed fall in scrap imports in Jun’18.

Fall in scrap exports in June could be attributed to seasonal slowdown in most of the importing countries and strong global scrap prices in May-June months. Also, after announcement of tariffs on steel imports, domestic scrap consumption in USA increased sharply since last few months.

Country-wise United States ferrous scrap exports –

Quantity in MnT
Source: SteelMint Stats