South Korea: Imported ferrous scrap arrivals continue to increase w-o-w

Imported scrap arrivals in South Korea continued to increase w-o-w. Scrap imports have been steadily increasing since the beginning of the year. This week, major ports in the country declared the total volume at 180,908 tonnes (t) of scrap, an increase of 124,000 t over the prior week.

The majority of Japanese goods ordered at the end of 2022 seems to have arrived. The domestic scrap distribution market is looking bleak, with prices barely rising despite low distribution volume.

Company-wise imports:

• Hyundai Steel: Hyundai Steel brought in 22,855 t to Incheon, 6,100 t to Dangjin, and 8,400 t to Pohang and reported a total of 37,355 t. Following a new contract made in Japan last week, new cargo is set to arrive at the end of the month.
  
  
• Dongkuk Steel: This week, Dongkuk Steel accounted for 56% of total port arrivals reported. Dongkuk Steel received over 100,000 t of scrap this week alone as a result of the arrival of a large mother ship. The company shipped 53,100 t to Incheon, 10,000 t to Pohang, and 38,200 t to Dangjin, totalling 101,300 t of scrap. The 35,200 t of cargo brought into Dangjin by Dongkuk Steel appears to be from the US, while the 25,000 t brought in by Incheon appears to be from Australia. The 10,000 t delivered to Pohang are loaded onto Russian ships. Dongkuk Steel has reported more than 100,000 t of scrap at a port for the first time since 2019.
  
  
• POSCO: POSCO imported 36,000 t of HBI this week and the previous week, while imports remained flat. This week, POSCO received 7,036 t of scrap from Pohang alone.
  
  
• SeAH Steel, Daehan & YK Steel: SeAH Besteel reported 15,117 t of scrap from Gunsan, and Daehan Steel and YK Steel reported 14,800 t of scrap from Busan. 2,800 t of the 5,300 t that entered Masan Port were identified as SeAH Changwon Special Steel imports.
  
  

Gradewise, shredded weighs 5,014 t, Shindachi weighs 15,213 t, HS weighs 9,847 t, and H2 weighs 10,434 t. In three months, HMS brought around 10,000 t.

Outlook: Expectations for price increases in the domestic scrap market are fading as imports pile up at the start of the year. As large mother ships arrived one after the other. Moreover, Japanese scrap is projected to continue arriving until the end of the month and next month. The amount of scrap dispersed in Korea is expected to expand drastically.

Note: This article has been published in accordance with an article exchange agreement between SteelDaily and SteelMint.