US: Ferrous scrap exports decrease by nearly 30% m-o-m in Nov'22

The US, the top ferrous scrap exporter in the world, witnessed a drop in exports by 28% m-o-m in November 2022. Scrap exports dropped for the first time after continuously increasing since July, as per customs data. The country exported a total of 1.2 million tonnes (mnt) of scrap in November as against 1.66 mnt in October.

Interestingly, exports to Turkiye saw no significant change remaining mostly stable at 183,109 t in November. Sluggish finished and semi-finished steel demand from domestic and overseas buyers kept Turkish scrap buyers away from the import market. Scrap export volumes declined, too, due to lower imports by Malaysian and Mexican buyers.

A total of 15.61 mnt was exported by the US in January-November, 2022, down 5% compared to the corresponding period of 2021.

Country-wise shipments

India top importer: US exports to India increased by 3% at 307,100 t in November as against 297,206 t in October. The absence of Turkish buyers was an advantage for Indian buyers.

Exports to Malaysia, Mexico drop: Malaysia received 14,419 t of US scrap in November compared to 227,246 t in October, a sharp fall of 94% m-o-m. Mexico, a leading buyer of US ferrous scrap, imported 178,977 t in November, down 44% compared to 321,736 t in October.

Exports to Vietnam, Bangladesh, Saudi Arabia fall: Vietnam received 38% lower scrap volumes from the US in November at 47,952 t compared to 77,219 t in October. Similarly, Bangladesh imported 66,183 t, down 32% m-o-m. Imports by Saudi Arabia declined almost 100% m-o-m.

Outlook
US scrap export prices may remain firm in the coming months as leading importers such as India and Turkiye look to accumulate stocks. Exports to new destinations such as Saudi Arabia may result in overall US shipments increasing in the coming month.