South Korean Hyundai Steel Books Russian Bulk Scrap Cargo

SteelMint learned from recent updates that South Korean leading EAF steelmaker- Hyundai Steel has recently booked a bulk ferrous scrap cargoes from Russia. The steelmaker reported to have contracted around 20,000 MT cargo of Russian A3 grade at USD 287/MT, CFR South Korea, same as the last Russian booking for South Korea last month.

Prior to this, another prominent steelmaker Dongkuk Steel had booked a Russian cargo of 10,000 MT (A3) scrap at USD 287/MT on 19th July'19.

Hyundai's bid for Japanese H2 scrap has stood unchanged at JPY 27,000/MT (USD 254) since 5th July'19, however, due to the rise in export offers from Japanese suppliers to JPY 28,000-29,000/MT levels in later July, the company has not observed any significant bookings from Japan in several weeks now.

The ongoing trade tensions between South Korea and Japan, have been further intensified by the South Korean government with the possibility of removing Japan from trade white-list September onwards as well as the increasingly strict inspections of vessels carrying Japanese scrap at South Korean ports, the importers have turned very cautious for booking Japanese scrap. If the situation persists longer, South Korea may further increase its already growing imports from Russia and USA, while Japanese suppliers may look for other markets such as Southeast Asian countries.

~ Inputs from SteelDaily