Japan: H2 scrap export offers flat w-o-w due to absence of suppliers amidst holidays

Japan's H2 scrap export prices showed no significant changes w-o-w, as market players took a hiatus during the New Year and Coming of Age holidays until 8 January. As a result, SteelMint's weekly assessment stood stable at JPY 50,400/tonne ($347/t) FOB Tokyo Bay.

A Japanese trader stated, "No firm offers or bids were heard during the week amidst extended holidays until 8 January."

Other market updates

Vietnam: Vietnamese mills refrained from placing bids throughout the week due to the absence of offers from Japanese suppliers amid the holiday period. Last offers for bulk H2 scraps from Japan were reported at $405/t CFR.

In the domestic market, a steel mill has raised scrap prices in response to the surge in iron ore and billet prices. Current offers for H2 scrap in the northern region were quoted at VND 9,600-10,200/t, while in the southern region, prices were assessed at VND 8,800-9,600/kg.

South Korea:South Korean mills chose not to engage in the seaborne market due to subdued downstream demand. Instead, they opted for domestic prices, which proved to be more economically viable than importing from the seaborne market.

Within the domestic market, southern-based steel mills raised scrap prices by KRW 20,000/t ($15/t), influenced by reduced imports and declining stock levels. The present price for Light A grade scrap was KRW 425,000/t ($323/t), and Heavy A was evaluated at KRW 445,000/t ($338/t).

Taiwan: Taiwanese mills too, did not place any fresh bids due to the absence of suppliers owing to holidays. In the domestic market, Feng Hsin Steel, Taiwan's largest rebar producer headquartered in Taichung in central Taiwan, decided to cut its rebar list prices and procurement prices for local scrap by TWD 300/t ($9.7/t) on week for transactions over 2-5 January, a company official confirmed on Wednesday.

One major reason for its price cut for products this week is the continuing weakness of prices of global scrap delivered to Taiwan.

Outlook

Japan's H2 scrap export offers are anticipated to remain subdued due to the extended holidays until 8 January, potentially leading to an impact on import volumes in January.