Weekly round-up: Global ferrous scrap prices show mixed trends amidst preference for bulk cargoes

The global imported scrap market reflected diverse sentiments as the imported scrap market of Turkiye resumed trading activities. Japanese scrap prices fell on lower bids from Hyundai and Tokyo Steel. Shagang Steel lowered scrap buy prices after a couple of weeks. The South Asian imported scrap market was active lately as Indian buyers started buying bulk vessels.

• Turkiye's imported scrap prices inch up: The Turkish imported scrap market turned a little less active after three bulk scrap shipments from Europe, the US, and the Baltic area that steel mills have scheduled this week. Improving finished steel demand led to a hike in imports. SteelMint's assessment for US-origin HMS 1&2 (80:20) stands at $352/t CFR, slightly up by $2/t w-o-w.
  
  
• Vietnam's imported scrap market silent: Due to sluggish demand from steel mills and end-users, the price of imported ferrous scrap in Vietnam continued to decline and followed the global trend.
  
  

Japanese suppliers are unwilling to accept offers below their proposed levels as the domestic market maintained high bids for scrap purchases. Indicative offers of US bulk HMS (80:20) scrap were heard at $413/t CFR Vietnam, $15/t down w-o-w.

• Hyundai Steel bids for Japanese scrap after 3 weeks: Hyundai Steel's price for Japanese scrap was significantly reduced from its previous offer on August 30 by JPY 1,300/t ($9/t) for H2 and JPY 1,500/t ($10/t) for HS-grade scrap. In contrast to HS, which is now selling at JPY 54,000/t ($373/t) FOB, H2 scrap current price is at JPY 48,500/t ($335/t).
  
  
• Tokyo scrap price cut after 2 months: After an almost two-month hiatus, Tokyo Steel, Japan's largest EAF steelmaker, has reduced scrap buying rates twice this week. The company has reduced the price of H2 scrap for all of its facilities by up to JPY 1,500/t ($10/t). After the last revision, the bid price for H2 scrap delivered to the Tahara plant is JPY 49,500/t ($340/t), while the price for Utsunomiya is JPY 50,500/t ($347/t).
  
  

• Japan scrap export prices move downward: Japanese scrap export prices have continued to move downward whereas buyers remained cautious amid sluggish finished steel demand. Major buyers like Vietnam, South Korea, and Bangladesh have kept fresh bookings slow, waiting for a clearer market picture.
  SteelMint's assessment for Japanese H2 scrap export prices stands at JPY 48,000/t ($336/t) FOB, down by JPY 500/t ($3/t) w-o-w.
  
  
• Shagang lowers scrap purchase bids after two weeks: Jiangsu Shagang Group's scrap buying prices have fallen due to a drop in China's rebar and steel prices. After revision, prices decreased by RMB 20/t ($3/t) for HMS (6-10 mm) and stood at RMB 3,120/t ($440/t), delivered to the headquarters, with 13% VAT.
  
  
• Bangladesh's containerised market lately active, bulk stagnant: Bangladesh's bulk scrap market remained quiet this week as a result of the holdup in infrastructure projects and the severe rains, according to sources.
  
  

On the other hand, the country's containerised market turned active and buyers procured materials from Europe/the UK. SteelMint's assessment of shredded scrap from the UK is currently at $470-475/t CFR.

• Pakistan imported scrap shows mixed trend: With the persistent rain and some demands due to transportation disruptions, Pakistan stayed negative in the week's start. However, the buyers have booked some containerized scrap recently.
  SteelMint's assessment for shredded scrap in Pakistan is $445/t CFR Qasim, a little drop of $2/t w-o-w.
  
  
• Indian mills active in bulk bookings: India's imported scrap market actively procured bulk scrap over containers due to cost-competitiveness. A couple of bulk cargoes are heard to have been booked at lower prices, considering the limited deals from Turkish mills.
  Meanwhile, the containerised market remained largely silent post-Vishwakarma Puja as buyers opted for a wait-and-watch approach. SteelMint's assessment for shredded scrap in India stands at $455/t CFR Nhava Sheva, largely stable w-o-w.