- Turkish mills cautious amid weak rebar demand
- Indian scrap demand slow, mills prefer sponge iron
Global ferrous scrap prices stayed mostly stable and even showed signs of firming up slightly, with Turkiye and Asia seeing modest gains amid cautious buying. Weak steel demand, monsoon impact, and currency shifts continued to shape markets in South and East Asia.
Turkiye: Turkiye’s imported scrap market remained cautious throughout the week despite a slight price uptick, as mills stayed on the sidelines amid weak domestic rebar demand and competition from cheaper billet imports from Asia. Early in the week, buyers sought discounts of $5-7/t, but sellers held firm, supported by a stronger euro and robust US domestic scrap markets.
However, uncertainty surrounding US tariff policies kept Turkish mills hesitant to book significant volumes at rising prices. Market sentiment remained mixed, with some participants expecting firmer prices going forward if billet prices rebound in Asia.
US-origin HMS 80:20 scrap was assessed at $347/t CFR Türkiye, marking a modest 1% increase from the previous week’s $345/t, though overall buying interest stayed limited.
India: India’s imported ferrous scrap market remained quiet throughout the week, with UK-origin shredded scrap prices holding steady at $362/t, barely changing from $361/t the previous week. Sentiment continued to be weighed down by weak steel demand, seasonal monsoon-related logistics challenges, and the availability of competitively priced domestic scrap.
Shredded scrap offers were around $360-365/t CFR, but buyers resisted paying above $355/t, maintaining a persistent bid-offer gap. Activity in HMS and busheling segments was also subdued, as mills increasingly preferred sponge iron.
Approximately 8,000-9,000 t of imported scrap were booked into India last week, including HMS 80:20, HMS 60:40, LMS bales, HMS 1, turning scrap, and NTP bales. This included 6,000-6,500 t of HMS 80:20, booked at prices ranging from $335-350/t.
Pakistan: Pakistan’s imported scrap market stayed quiet throughout the week amid slow construction demand and seasonal monsoon disruptions. Mills continued to operate at reduced capacity (35-40%), further limiting fresh buying interest.
UK-origin shredded scrap rose to $376/t CFR, up 1% w-o-w, though trading stayed minimal. Offers hovered at $375-380/t CFR, while UAE shredded was higher at $382-390/t CFR, but buyer interest remained limited.
Bangladesh: Bangladesh’s imported ferrous scrap market remained subdued during the week, with trading limited amid persistent monsoon disruptions and political uncertainty. Mills stayed cautious, avoiding new bookings despite some easing in freight costs.
UK-origin shredded scrap prices rose by 2% w-o-w to $373/t CFR Chattogram, but deals were thin as weak steel demand and stalled construction kept Bangladeshi mills cautious and market response subdued.
Additionlly, in H1CY’25, Bangladesh’s bulk ferrous scrap imports rose 11% to 1.63 mnt from 1.47 mnt in H1CY’24.
Japan: H2 ferrous scrap export market firmed last week, buoyed by a weaker yen against the US dollar, though dollar-denominated prices held steady at $280/t FOB Tokyo Bay. BigMint assessed H2 at JPY 41,100/t, up JPY 600/t w-o-w.
The July Kanto tender saw just one lower-priced bid succeed, while domestic FAS H2 collection prices stayed firm at JPY 40,500/t in early July.
Tokyo Steel cut H2 scrap prices again in July, lowering rates by JPY 500/t ($3/t) at Utsunomiya and Tokyo Bay yards. Post-revision, prices stand at JPY 40,000/t ($273/t) and JPY 40,500/t ($276/t), respectively.
China: Chinese ferrous scrap prices may keep slipping amid weak steel demand, despite tight supply. June’s national scrap index averaged RMB 2,370/t ($330/t), down 2% m-o-m. EAF capacity use fell to 51% as mills cut output on poor margins. Hot metal stays cheaper than scrap, but supply constraints may limit further price drops in July.
Vietnam: Imported scrap market stayed cautious, with buyers avoiding deepsea bookings and focusing on small lots. Post-Kanto tender, H2 offers edged up to $317-320/t CFR, while bids lingered at $310-315/t. US-origin HMS 80:20 slipped to $340/t CFR, with bids near $330/t, as weak demand fuelled talk of potential cargo redirection to Bangladesh.
South Korea: Ferrous scrap stocks at major mills rose for a fourth week, hitting 861,000 t in mid-July as arrivals outpaced consumption, notably at Gwangyang, Gunsan, and Incheon ports. Amid weak demand, Hwanyang Steel cut scrap purchase prices by KRW 10/kg ($7/t) from 12 July.
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