Weekly: Global Ferrous Scrap Market Overview
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Global ferrous scrap prices witnessed downtrend throughout the week in all major markets including Turkey, South Asia and Japan.
Turkey: After few deals concluded this week, assessment for imported scrap offers for USA origin HMS 1&2 (80:20) to Turkey stood in the range of USD 285/MT, down by USD 5-6/MT against last week closing. Weaker steel market sentiments kept scrap purchase prices under pressure.
A deal concluded in which, a Mediterranean region based steelmaker has booked a 28,000 MT bulk vessel from the UK branch of a global recycler, comprising of HMS 1& 2 (80:20) scrap at USD 277/MT CFR Turkey.
Japan: After keeping its bids unchanged for almost six weeks, Japan's leading EAF mill - Tokyo Steel has lowered its domestic scrap purchase bids by JPY 500/MT (USD 5) at all of its 5 works, effective from today 25th Jan'20. This comes after 2 months of the continuous price hike.
After the said price cut, the company is now paying JPY 24,500 /MT (USD 224) for H2 scrap delivered at Tahara plant in the central region, Kyushu works in the western region and Utsunomiya works located in the Kanto region.
For H2 delivered to Okayama plant and Takamatsu Steel Center the company is paying price JPY 23,000 /MT (USD 210) and JPY 22,000/MT (USD 201) levels respectively.
India: Imported scrap prices to India have also moved down this week, following the Turkish price trend. Assessment for UK Shredded 211 price to India stands at USD 300/MT CFR, down by USD 8-10/MT W-o-W. Few offers were also heard at a low level of around USD 295/MT CFR.
Offers for HMS scrap too reported downward by USD 5 /MT against last week's report. HMS 1 (no ci gi) super from UAE stands at USD 295-300/MT CFR Nhava Sheva, while HMS 1&2 stands in the range of USD 285-290 /MT CFR from the same origin. HMS 1 from South Africa is reported range-bound at USD 295-300/MT CFR. Offers from the UK for HMS 1&2 (80:20) also devalued and stood in the range of USD 285-290/MT CFR.
Bangladesh: In the latest deal concluded last week a major steel mill based in Chittagong has booked a bulk vessel 32,000 MT of composite cargo, comprising of Shredded scrap at USD 310/MT, HMS at USD 305/MT and bonus scrap at USD 315/MT CFR Chittagong. The shipment for the cargo is expected for Feb'20.
Offers for Shredded scrap from UK/Europe stand at around USD 310-315 /MT, CFR Chittagong, dropping sharply by USD 20-25/MT this week as against USD 335/MT last week's report.
Offers for HMS 1from Brazil, Chile and South American origins were reported at around USD 290-292/MT CFR, while HMS 1&2 (90:10) at USD 287/MT CFR, down by USD 10/MT on a weekly basis. On the other hand, higher-quality HMS 1 from Australia and the US were reported at USD 300-303/MT CFR.
Pakistan: Imported scrap offers to Pakistan moved down sharply with limited trades reported this week. Assessment for Shredded 211 scrap from UK/Europe stood in the range of USD 298-304/MT CFR. Offers from European origin observed at around USD 299-300/MT CFR, while UK based suppliers offered at a premium price, in the range of USD 303-304/MT CFR.
Few bookings for shredded scrap were also concluded this week in the range of USD 300-304/MT CFR. Meanwhile, many buyers bids for shredded scrap at significantly lower prices of USD 295/MT and even lower.
HMS offers too have continued on the downward trend, with UAE origin HMS dropping by over USD 10/MT on a weekly basis. HMS 1 super (no ci gi) was being offered at around USD 293-295/MT CFR Qasim.
Vietnam: Imported scrap offers to Vietnam weakened on a weekly basis. USA origin HMS 1&2 (80:20) in bulk was being offered at around USD 295/MT CFR Vietnam, down by USD 5-7/MT against the offers reported last week.
Japanese origin H2 scrap in bulk to Vietnam was being offered at around USD 282-283/MT CFR Vietnam, with no major trades being concluded in the week. Higher grade scrap too remained in majorly unchanged, with Shin Dachi scrap being sold for USD 312/MT CFR Vietnam, while HS scrap was booked at USD 310/MT CFR.
