Weekly: Global ferrous scrap market overview
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- Imported scrap prices in South Asia fall after decline in Turkey
- Bids in Kanto scrap export tender for Oct'20 fell by $9 m-o-m
- Shagang Group raised scrap purchase price by RMB 80 post Chinese holidays
- Turkey: Imported scrap prices drop in recent bookings
Imported scrap prices in Turkey have dropped further in the recent deep sea bulk cargo bookings made. A West Marmara based steelmaker has booked two bulk cargoes and deal concluded at $285/t CFR for USA origin and Russian cargo has been booked at $279.5/t for Oct and Nov shipment respectively.
SteelMint's assessment for HMS 1&2 (80:20) USA stands at $285/t CFR Turkey, down by $10/t w-o-w.
- Bids in Kanto scrap export tender for Oct'20 fall by $9 m-o-m- Japan's monthly ferrous scrap export tender for Oct'20 has concluded yesterday. A total of 20,500 t of Japanese H2 scrap was sold at an average price of JPY 28,406/t ($268) FAS basis. The weighted average bid has declined by JPY 964 ($9) as compared to last month. Kanto tender serves as a benchmark for the Japanese scrap export market and by the next week South Korean mills may bid for Japanese scrap.
SteelMint's assessment for Japanese scrap export stands at JPY 27,500/t ($260) FoB Japan.
- Japanese domestic scrap prices unchanged since mid Sep'20: Japan's major steel manufacturing giant Tokyo Steel has kept its purchase prices unchanged since mid Sep'20. The company is currently paying JPY 27,000/t ($255) for H2 scrap delivered at its Tahara plant in Central Japan and JPY 26,000/t ($246) in Utsunomiya plant (Kanto region).
- China's Shagang group hikes scrap purchase price post-holiday by RMB 80: Eastern China's Shagang group after the National Day holiday, gradually increased its domestic scrap purchase price by RMB 80 ($12), effective from today. The purchase price of HMS (6-10 mm) thickness has stood at RMB 2,720/t ($406), inclusive of 13% VAT delivered to headquarters works at Zhangjiagang North of Shanghai in China. Prices have increased amid decline in stocks and sharp increase in billet prices post Chinese holidays.
- Indian imported scrap price remains range-bound: Indian imported scrap trades improved this week as buyers remained active for booking both in western and southern India. The demand for scrap has improved on a weekly basis as a number of deals in containers were reported throughout this week.
A large fire has broken out at a ferrous scrap stockpile at global metals recycle SIMS Metal Management's Avonmouth dock in southwest England, affecting up to 20,000 t of scrap currently at the site as per the reports.
SteelMint's assessment for Shredded scrap in containers of UK origin stands at $309/t CFR Nhava Sheva, mostly stable w-o-w.
- Pakistan's imported scrap prices slides in recent trades: Imported scrap prices to Pakistan have come down following Turkish trend. Pakistan-based steel mills are seeking government intervention in order to boost mega construction projects which are still running at a slower pace, resulting in lower bids for imported scrap. The domestic steel market situation remains depressed as compared to last week on low finished steel demand in the market and tough competition among the major market players.
SteelMint's assessment for Shredded 211 scrap in containers from UK/Europe stands at $307/t CFR Qasim.
- Bangladesh steel mills lowered bids for imported scrap: Imported scrap trades have slowed down this week due to low bids amid dull finished steel demand. Buyers remained cautious for booking new bulk cargoes, whereas suppliers are resisting sharp decline in offers. Market participants are of the mixed opinion regarding future trends and are waiting for the firm deals for a clearer market direction. Bangladeshi steel mills continue to remain silent in bulk scrap market in anticipation of reduction in offers. Japanese bulk H2 offers to Bangladesh stands at $315-320/t CFR Chittagong.
Bulk HMS offers from US are currently assessed at $322-325/t CFR Chittagong.
