Turkey- world`s largest scrap importer observed few deals at sharply declined prices. Shredded scrap prices in Indian subcontinent fell down on slowdown in purchases in Pakistan and Bangladesh. South Korean domestic scrap prices raised on supply tightness. Hyundai Steel prefer US bulk scrap instead of higher Japanese scrap. While Japanese steelmakers started restocking scrap at higher prices after a short break of Obon holidays. Chinese and Taiwanese scrap prices remained unchanged while Vietnam scrap prices move down following global trend this week.
Turkish scrap prices fell sharply amid market uncertainty - According to SteelMint’s assessment, recent deals have pulled the price assessment down for USA origin HMS (80:20) at around USD 300MT, CFR Turkey, which has come down by USD 17-20/MT as against last week`s report. The premium for HMS 1&2 (80:20) scrap for USA over European origin stands at USD 4-6/MT. Lira recovered slightly after hitting all time low at 7 against USD in the mid of week.
In a recent deal concluded, a steel mill in Marmara region booked US cargo, comprising 20,000 MT HMS 1&2 (80:20) at USD 300/MT, 22,000 MT Shredded at USD 305/MT and 3,000 MT Bonus at USD 310/MT, CFR levels. While two UK based bulk cargoes each comprising 25,000 MT HMS 1&2 (80:20) sold at USD 280/MT, CFR Turkey.
Japan’s Tokyo Steel hikes scrap purchase price further - Leading EAF steel mini-mill - Tokyo Steel has raised prices by JPY 1000/MT (USD 9) at all five plants effective from 18th August. It fetches H2 at JPY 37,000/MT (USD 324) for its Kanto region based works i.e. Utsunomiya and at JPY 36,500/MT for largest works in central Japan-Tahara.
Major EAF steelmakers in Japan are operating at extended hours on decline in electricity rates and thus have increased scrap restocking activities. Few participants remain less working this week for Obon holidays. While exports remain sluggish amid slowdown in demand from importers, low global prices compared to Japanese prices and mismatch between sellers’ expectation and buyers bidding.
Indian imported scrap prices drop in recent deals - Indian scrap importers observed thin trades at further declined prices however, further currency depreciation of Indian Rupee hitting record low of 70 against USD has compelled importers to buy limited quantity.
Price assessment from UK and Europe based containerized Shredded stands at USD 345-352/MT, CFR Nhava Sheva. Offers from UAE for HMS 1&2 (80:20) heard stable at USD 335-340/MT and for HMS 1 at around USD 340-345/MT, CFR. Minor trades for West African HMS heard traded in the range of USD 315-320/MT, CFR in containers depending on quality of scrap and loading ports.
Currently, HMS 1&2 (80:20) basic prices assessed at INR 25,100-25,300/MT (USD 360-364), up INR 200 W-o-W in Mumbai, while prices assessed at INR 27,500/MT, up 300/MT on W-o-W ex-Raipur basis, GST @ 18% extra.
Taiwan imported scrap prices almost stable - Price assessment for US origin HMS (80:20) stands at USD 323/MT, CFR Taiwan in containers. Prices remain almost stable but buying interest remains subdued on further fall in global prices.
Vietnamese importers continue with US bulk over high Japanese prices - Vietnamese scrap buyers continue preferring USA and Europe scrap as Japanese export offers are comparatively high to afford. A 30,000 MT bulk cargo comprising HMS 1&2 (80:20) at USD 358-360/MT, CFR Vietnam basis heard to have booked. While offers for Shredded move down marginally this week.
Bangladesh scrap importers turn silent ahead holidays - Shredded 211 scrap from the UK assessed in containers at around USD 360/MT, CFR Chittagong. P&S scrap offers assessed USD 360-365/MT, CFR Chittagong. HMS 1 from South Africa sold at USD 345-350/MT, CFR levels and HMS 1&2 (80:20) offers remain in the range of USD 330-335/MT depending on various origins. Local market remains weak over ongoing rains and slowdown in purchases on account of upcoming EID holidays in the country. Local scrap prices in Bangladesh move down this week at BDT 34,000-34,500/MT, ex-works levels.
Pakistan imported scrap prices move down, buying subdued – Very limited quantity deals for Shredded scrap have concluded at USD 345-347/MT, CFR Qasim from recyclers in UK/USA. HMS 1 from UAE assessed at around USD 340-345/MT, CFR. HMS 1&2 from South Africa traded stable at around USD 345-350MT, CFR Qasim. As an impact of weak demand, liquidity issues and low cash circulation local billet, rebar and scrap prices in Pakistan have come down further this week by PKR 3000-4000/MT (USD 24-32) against last weeks’ report.