- Turkey’s scrap market sees subdued sentiments.
- Hyundai Steel raises bids for Japanese scrap.
- Tokyo Steel hikes scrap buying prices for the first time in June.
- Bangladesh mills resume bulk bookings
- Turkey’s imported scrap market remains dull: Ferrous scrap import bookings in Turkey remained low this week amidst weak finished steel demand in the domestic and overseas markets. Discrepancies in bids and offers kept the market quiet. Only one deal was concluded throughout the week. SteelMint’s imported scrap price assessment for US-origin HMS 1&2 (80:20) stands at $499/t, CFR Turkey, inching down by $1/t against last week.
- Shagang scrap purchase prices untouched: China’s largest electric-arc furnace (EAF) steelmaker, Jiangsu Shagang Group, kept its scrap purchase prices unchanged this week for all grades. As per latest revisions, prices for HMS (6-10 mm) were at RMB 3,770/t ($584/t), inclusive of 13% VAT, delivered to headquarters. Tight material availability and rising prices of finished steel lifted scrap purchase prices.
- China bids for Japanese ferrous scrap firm: Bids by Chinese steel mills for Japanese HRS 101 grade ferrous scrap remained unchanged compared to the week before. Currently, bids are at $540/t, CFR China, as per sources. Offers were tracked at around $570/t, CFR China, last week. However, no recent deals have been heard concluded at higher prices, as per SteelMint reports.
- Hyundai Steel raises bids for Japanese scrap: South Korean major steel lifted bids for H1 and H2 grade ferrous scrap higher by JPY 1,000/t ($9) against the last assessment on 9 Jun’21. Bids for H2, the most preferred Japanese scrap, have been settled at around JPY 48,000/t, CFR. Higher demand from Korean mills prompted the rise in bids. Meanwhile, the company also booked around 57,000 t of Russian A3 bulk scrap cargo earlier this week. The deal was concluded at $518/t CFR, up by around $15-20/t against the last deal concluded on 25 May’21.
Another major steel producer, Dongkuk Steel, booked 9,000 t of Japanese H2 at JPY 49,000/t FoB basis. The contract prices are slightly up by JPY 1,000/t against the bid made by Hyundai Steel. SteelMint’s assessment for Japanese H2 scrap exports stands at JPY 49,500/tonne (t) FoB, up by JPY 1,000/t w-o-w. - Offers for Vietnam fall by $10/t: Imported scrap offers into Vietnam for Japanese H2 are being quoted at around $495-500/t CFR, down by $10/t against the price reported on 21 Jun’21. However, no fresh deal has been heard at this level.
- Tokyo Steel raises scrap buying prices by $9/t: Japan’s leading EAF steel mill, Tokyo Steel, announced its scrap purchase price this week after a month’s hiatus. The company increased prices by JPY 1,000/t ($9) for its three plants. The company would pay a bid price of JPY 49,000/t ($442) for H2 scrap for the Utsunomiya works. Strong domestic ferrous scrap demand in Japan has resulted in the hike in bids.
- Bangladesh mills resume bulk bookings: Bangladesh-based steel mills continued to remain active in booking bulk ferrous scrap cargoes from the US this week on restocking needs. Apart from this, total four bulk cargoes were booked this week. A mixed cargo, comprising 32,000 t each of shredded and HMS scrap, was heard concluded for Jul’21 shipments. The deal was finalised at an average price of $530-540/t, CFR Chittagong. All leading mills such as BSRM, GPH Ispat, Abul Khair and KSRM have booked bulk scrap cargoes, according to sources.
Container scrap offers soften this week. The scrap market in Bangladesh recorded less deals at these levels, as buyers and steel makers were waiting for prices to come down further. SteelMint’s assessment for shredded from the UK stands at $545-550/t CFR Chittagong levels, down by over $5-10/t w-o-w. However, no deal has been heard at this level, as buyers opted to “wait and watch” for further price corrections. - Pakistan’s imported scrap prices fall: Pakistan’s ferrous scrap import prices witnessed a drop since the week before. Trading improved from last week and a few deals were concluded for around 6,000 t of containerised shredded scrap of UK/EU-origin in the range of $528-533/t, CFR Port Qasim. SteelMint’s bi-weekly assessment for shredded scrap stands at $530/t, CFR Port Qasim, lower by $10/t against the last week.
- India’s imported scrap market quiet on bid-offer disparities: Indian mills stayed away from bookings because of disparities in bids and offers following falling steel margins on subdued domestic demand. Market insiders kept their eyes on domestic raw material substitutes. Moreover, the finished steel market remained slow amidst the monsoon. Steel mills have already stocked up inventory. Shredded offers were heard at $530-540/t CFR. However, no interest has been heard above $520/t from buyers.
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