- Turkish imported scrap trade slows down: Turkey’s imported scrap trade slowed down after active bookings seen earlier this week. Only a few deals were finalised this It is expected that buyers may procure more cargoes for Sept’21 shipments. While there is less chance of offers coming down, some buyers believe that they are already close to the bottom. SteelMint’s assessment for US-origin HMS 1&2 (80:20) stood at $458/tonne (t) CFR Turkey, dipping further by $5/t w-o-w.
- Japan export offers continue to weaken: Japanese scrap export offers remained down this week too, on limited demand. The most prominent buyers like Bangladesh and Vietnam opted to wait and watch, while South Korean mills took a step back and did not present bids for Japanese scrap this week. SteelMint’s price assessment for Japanese H2 scrap exports stood at JPY 45,500/t FoB, down by JPY 500/t compared to last week. Japanese suppliers continued trading in the domestic market at workable price levels.
- Tokyo Steel keeps scrap buying prices unchanged: Japan’s leading EAF steel mill, Tokyo Steel, kept its scrap purchase prices unchanged this week. The company had reduced its scrap purchase prices twice last week. The company is currently paying H2 scrap at JPY 49,000/t ($446/t) for Tahara and JPY 48,500/t ($442/t) for the Utsunomiya works.
- Vietnam prices drop on lower bids: Falling global scrap prices on limited inquiries resulted in a fall in imported scrap prices into Vietnam. On the other hand, there is a continuous hike in the number of Covid cases, which has also impacted trade. Fresh offers for Japanese bulk H2 are being quoted at $470-480/t CFR Vietnam levels, lower by $10-15/t on week.
- Shagang cuts scrap buying prices further by RMB 50/t: China’s largest electric-arc furnace (EAF) steelmaker, Jiangsu Shagang Group, cut its scrap purchase prices for the second time in Aug’21, sources informed SteelMint. The steel producer cut scrap purchase prices by up to RMB 50/t ($8/t) across all grades. After the revision, prices for HMS (6-10 mm) stand at RMB 3,750/t ($579/t), inclusive of 13% VAT, delivered to headquarters. Prices got pulled down because of the drop in finished steel prices.
- Pakistan’s imported scrap market sees active trade: With the fall in Turkish imported scrap prices in recently-concluded deals, Pakistan-based mills went into wait-and-watch mode for clear price directions at the start of this week. However, buyers actively procured scrap after indications of prices bottoming out, towards the end of the week. Around 15,000-20,000 t of containerised shredded material was booked at $525-530/t CFR recently. SteelMint’s bi-weekly assessment for containerised shredded scrap stood at $530/t CFR Port Qasim, up by $5/t compared to the start of this week.
- Bangladesh mills resume imported scrap inquires: Bangladesh’s steel market regained momentum after mills resumed operations after the lockdown restrictions, which had lasted for one month, were lifted during this week. Inquiries for bulk cargo increased after the lockdown yet no deals were finalis SteelMint’s assessment for shredded stood at $548/t, CFR Chittagong, down by $5-10/t w-o-w.
- Imported scrap inquiries in India improve marginally: Indian imported scrap buyers gradually increased their inquiries for imported scrap and resumed booking fresh slots for Sept’21 shipments. Market players were actively procuring scrap as limited stock was available at their mills due to absence of inquiries in the past couple of months. Hike in offers from the UK and the US resulted in rise in imported scrap offers in the second half of the week. SteelMint’s assessment for containerised shredded scrap stood at $530-535/t CFR Nhava Sheva, up by $5/t w-o-w.
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