US: Ferrous scrap export prices edge down by $1/t w-o-w; demand remains bearish

• Monsoon slows steel demand across Southeast Asia
• Market subdued during 30 August-2 September holidays

US ferrous scrap export prices slight softened, falling $1/t w-o-w, as sentiment diverged. Rising freight costs pressured the East Coast, while strong container rates supported the West Coast.

A market participant noted buyers were trying to offset higher shipping costs, which have risen about $7/t, amid a slight drop in sales and offers $2-3/t below previous levels.

FOB assessments (US East Coast, bulk)

• HMS 80:20 – $313/t, down by $1/t w-o-w.
• Shredded – $333/t, down by $1/t w-o-w.

Updates on key importers

Turkiye: Turkiye’s demand for US-origin ferrous scrap remained soft this week, with deep-sea import prices slipping slightly. Limited buying interest and weak sentiment amid subdued finished steel demand locally and overseas kept fresh bookings minimal.

Factors shaping Turkish scrap demand

• Weak demand as Turkish mills remain cautious, with subdued finished steel consumption weighing on imports.
• Major bookings for September are largely expected to be completed by next week.

Despite the slight price dip, Turkish mills are maintaining a cautious buying approach, awaiting clearer demand signals for upcoming shipments.

Bangladesh: Demand for US-origin ferrous scrap in Bangladesh remained limited this week, as heavy monsoon rains and weak construction activity weighed on buying interest. Buyers favoring shorter-sea cargoes from nearby origins over deep-sea US shipments.

Vietnam: Demand for US-origin ferrous scrap in Vietnam saw moderate support this week, driven by restocking ahead of the September-October peak season. US-origin HMS 80:20 tradable levels at $345-350/t CFR, as mills prepared for anticipated stronger steel demand.

Buying remained cautious as monsoon-affected Southeast Asia kept steel demand sluggish, with market activity expected subdued during 30 August-2 September holidays.

US-origin HMS 80:20, bulk – CFR assessments

• Turkiye – down by $1/tw-o-w at $343/t.
• Vietnam – up by $6/t w-o-w at $344/t.
• Bangladesh – down by $3/tw-o-w at $351/t.

Outlook

US-origin scrap demand is likely to remain mixed, with East Coast exports pressured by high freight costs and West Coast shipments supported by container rates, as importers stay cautious ahead of seasonal trends.