SE Asia: Imported scrap offers rise further in recent trades

Imported scrap market in South East Asia has witnessed further hike in offers with Vietnam remaining the most active amongst other nations. Offers have increased significantly over a week, while global suppliers are more likely to involve in better deals as mostly South Asian steel mills are currently more active in bookings ahead of winter holidays.

Japanese scrap prices for Vietnam surge by $10: Bulk imported scrap offers to Vietnam have increased sharply further this week. SteelMint's assessment for Japanese origin H2 bulk stands at $355/t CFR levels, moving up by $10 w-o-w basis. Sources reported few deals of Japanese origin to have concluded last week.

Imported bulk scrap assessment for USA origin HMS 1&2 (80:20) now stands at $370/t CFR Vietnam level, increasing considerably by $25 on a weekly basis.

BF grade billet export offers from Vietnam were reported at $490/t, FoB Vietnam levels towards the closing of last week. Active billet export deals for China, supported imported scrap trades.

Indonesian scrap market remained less active on high offers: Indonesian steel market mostly subdued on a shortage of containers, witnessing less buying activities throughout the week. Whereas, imported scrap market has slowed down on strong domestic market demand in many countries. Offers remained mostly stable on a weekly basis.

Recent offers -

• PNS in 20 ft container- $340/t CFR Jakarta
  
  
• Busheling in 20 ft container- $355-360/t CFR Jakarta
  
  
• Shredded 211- $340/t CFR Jakarta
  
  

The steel industry has maintained its steady growth despite the COVID-19 pandemic, recording 2.3% growth in the second quarter and 5.6 % in the third quarter of 2020, as per reports.

Limited scrap offers reported to Thailand: Central American HMS 1&2 (80:20) offers increased by $5/t w-o-w to $300-305/t CFR Thailand level. No firm offers were reported from Australia owing to availability concerns.