Weekly round-up: Global ferrous scrap market exhibits mixed trends

The global ferrous scrap market has been showing mixed sentiments since past couple of weeks. Turkey's imported scrap bookings remained quiet. Tokyo Steel further increased prices after Kanto tender bids increased. Trading activities were limited in Pakistan and Bangladesh amid the ongoing Ramadan. However, a few deals of small quantities are likely to take place in India in the coming week after prices of semi-finished steel firmed up.

• Turkey imported scrap bids fall: Imported scrap trades slowed down during the Ramadan month. The market was waiting for the next round of bookings in order to derive a clearer price picture, expecting price levels to bend down. On the other hand, mills had inventories, hence, they halted fresh bookings for May shipment.
  
  

SteelMint's price assessment of US-origin HMS 1&2 (80:20) stood at $645/tonne (t) CFR Turkey, lower by $8 w-o-w.

• Kanto scrap tender price hits multi-year high: A total of 10,000 t of H2 scrap was awarded at around JPY 67,010/t ($534/t) FAS, higher by JPY 3,500/t ($28/t) m-o-m. Meanwhile, currency depreciation and tight material availability continued to push up Japanese scrap offers.
  
  
• Tokyo Steel raises scrap buying prices up to $8/t: Tokyo Steel hiked scrap purchase prices for the second time this month. The company increased bids by $8/t for Utsunomiya and $4/t for Tahara and other works. The company's bid price for H2 scrap stood at JPY 65,500/t ($521/t) delivered to Tahara and JPY 66,000/t ($525/t) for Utsunomiya, effective from 13 April.
  
  

• Vietnam imported scrap prices correct on lower bids: Vietnamese scrap buyers became active in inquiring about imported Japanese and US offers. Bids softened due to subdued global steel market sentiments. Japanese bulk H2 was being quoted at $610/t CFR levels, down by $10-15/t on week.
  
  

• Shagang Steel scrap prices untouched: China's Shagang Group raised its scrap procurement prices by RMB 50/t ($8/t) last week. The hike was intended to secure supplies and stall deliveries from declining further. Current prices of HMS (6-10mm) are at RMB 4,020/t ($631/t) delivered to headquarters, including 13% VAT.
  
  
• Pakistan scrap import market sees limited trades: Due to the ongoing Ramadan month and slowing down of current political instabilities, Pakistan's imported scrap trades turned sluggish although a few deals were concluded towards the week end. Mills cut steel production and preferred local scrap over imported ones.
  
  

Offers for UK-origin shredded in containers were at $650/t CFR Qasim levels.

• Bangladesh imported scrap trades on mute: Imported scrap trade cooled down after booking small quantities in the previous week. Due to the ongoing holidays in the country, business activities slowed down.
  
  

Two bulk mixed scrap (HMS & shredded) cargos were booked at around $665/t, CFR Bangladesh last week. On the other hand, bulk US-origin HMS was being quoted at $655-660/t CFR Chittagong basis. Bangladesh's buyers stayed out of the bulk market after March shipments as US-origin cargos were more cost-effective.

Offers for containerised shredded scrap cargo were at $665/t CFR levels, down by $15-20/t w-o-w.

• India imported scrap trade concludes in small quantity: Ferrous scrap import trades in India picked up towards the closing of the week. With the increase in domestic scrap and steel billets prices towards the weekend, imported HMS scrap trades gained some momentum. Suppliers tried selling their material to India in the absence of active inquiries from neighboring countries during Ramadan.
  
  

Offers for UK/EU origin shredded were quoted at $645-650/t CFR levels, down significantly by $10-15/t w-o-w. while, HMS (80:20) was at INR 43,500/t DAP ($570/t) Mumbai, up INR 1,000/t ($13/t) w-o-w.