Imported scrap offers in Vietnam up further; trades slow-down
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South East Asian scrap trades slowed down at increased offers. Buyers mostly have turned cautious in placing new bookings. Japanese scrap suppliers are awaiting Kanto Tetsugen's tender outcome to understand market trends. The tender is scheduled to take place on 09 Sept'20.
Imported scrap offers for Vietnam up further - Last week, imported scrap trades slow down on account of the Independence-day holiday on 2nd Sep '20, with less active participation in the market. Imported scrap offers for Japanese scrap, and deep-sea bulk cargo bookings moved up further last week, widening the gap between suppliers offers and buyers price idea.
- SteelMint's assessment for Japanese bulk H2 stands at $305/t, CFR north Vietnam level, up by around $8/t against last week's report. Few traders were concluded in the range of $300-305/t CFR level
- Offers from suppliers remained in the range of $305-310/t CFR level, while buyers' bids stand at around $295-300/t, CFR level.
- USA origin HMS (80:20) offers in bulk are reported at around $315-320/t CFR Vietnam level.
Vietnam is the only ASEAN country forecasted to have positive growth in 2020, and demand for finished steel is expected to strengthen in the near term. The Government is promoting more construction activities and public investment to promote economic development in the country, according to the Vietnam Steel Association.
Indonesian steel mills turn cautious at high scrap offers: Indonesian buyers are still hesitant to book new slots, as imported scrap offers have increased over the week after Turkish buyers concluded few deals at high levels in the second half of the week.
- P&S offers in 20 ft containers are being remained firm at $315-320/t CFR Jakarta last week, up by $5 w-o-w, while, good quality of PNS is equivalent to Bluesteel stand at $320/t.
- Busheling scrap offers in 20 ft containers are now stands at $325-330/t CFR Jakarta, up by $5-10/t w-o-w.
- Other higher grade scrap Bluesteel is being offered at $320/t CFR Jakarta basis.
Thailand imported scrap offers rise: Imported scrap offers to Thailand have also increased w-o-w.
- Offers from Central America for HMS scrap in containers stand at $265-270/t CFR Thailand; up by $10 as compared to last week.
- Australian origin HMS 1&2 (80:20) is being offered at $285-290/t CFR level.
Thailand's semi-finished imports have increased with manifolds over the month in Jul '20, as compared to scrap imports, due to cost-effectiveness. A total of 0.33 mn t of semi-finished imports were recorded in Jul'20, up by 445% m-o-m as compared to just 0.06 mn t imported in Jun '20.
