Weekly round-up: Global scrap market prices move up

• Turkey's scrap import market continues to be active: Turkish buyers are actively booking scrap of US and Baltic origin for Oct-Nov'21 shipments. Imported scrap prices moved up considerably for the first time in the last 5-6 weeks. However, global scrap prices are less likely to correct downwards from the existing levels considering the hike in offers from the traders.
  
  

A Europe-origin scrap cargo was booked by a steel mill based in the Mediterranean region. The cargo comprised 20,000 tonnes (t) of HMS 1&2 (80:20), 10,000 t of shredded scrap and 10,000 t of bonus material at an average price of $458/t CFR.

SteelMint's assessment for US-origin HMS 1&2 (80:20) stands at $455/tonne (t) CFR Turkey, up by $10-15/t w-o-w.

• Japanese scrap export prices up on enhanced demand: Market players were active in the domestic market on improved demand which pushed up export prices. Major Japanese scrap importing countries like Vietnam, Taiwan, and South Korea stayed active in booking fresh slots. In addition, the market is also waiting for Japan's monthly Kanto Tetsugen scrap export tender to be concluded which has been scheduled for 12 Oct'21. SteelMint's assessment for Japanese scrap export offers stands at JPY 52,000/t FOB, up significantly by JPY 3,000/t w-o-w.
  
  
• Tokyo Steel raises scrap buying price for Utsunomiya: Tokyo Steel has declared a hike in scrap purchase prices for the third time in Oct'21 this week. The steelmaker has raised bids by JPY 2,000/t ($18/t) only for its Utsunomiya plant. Post-revision, the company's bid price for H2 scrap will stand at JPY 53,000/t ($474/t) for the Utsunomiya plant. However, the buy prices for other four steelworks of Tokyo Steel remain unchanged.
  
  Prices in JPY
  Source: Tokyo Steel
  
  
• Vietnam's imported scrap trade active on eased restrictions: Vietnam's imported scrap market has seen a recovery in terms of trade inquiries and prices with the easing of lockdown measures. Mills have turned active toward bookings scrap cargoes. Buyers have actively started restocking as the demand for raw materials from the construction industry has seen a recovery.
  
  

SteelMint's assessment for Japanese H2 is at $505/t CFR Vietnam levels, up by $5/t w-o-w.

• Shagang Steel scrap procurement prices unchanged: Shagang Jiangsu Steel announced the second hike in scrap purchase prices last week by RMB 50/t ($8/t) for all grades from 28 Sept'21. After the adjustment, the price of HMS (6-10 mm) stands at RMB 3,760/t ($583/t), together with 13% VAT, delivered to headquarters.
  
  
• Bangladeshi Imported bulk scrap trade remains active: Bangladesh-based mills have continued to remain active in imported scrap bookings ahead of the peak season. Active deals in containers were reported. Nonetheless, market sources expect construction demand to pick up in the coming weeks with the onset of the festive season and continued economic growth after the pandemic.
  
  

SteelMint's assessment for UK/EU-origin shredded are at $550-560/t CFR levels, slightly up by $10/t w-o-w.

South Asia's bulk scrap buyer Bangladesh, however, extended its silence on bulk cargo bookings for yet another week. Offers for US-origin HMS bulk scrap stand at $540/t CFR Chittagong, an increase of $15/t w-o-w. In contrast, bulk Japanese H2 scrap offers are at $570/t CFR Chittagong, an increase of $10-15/t CFR Chittagong.

• Pakistan imported scrap prices rise: Pakistan's scrap buying slowed down from last weekend. But inquiries have increased again from the beginning of this week. Remarkably, suppliers have resisted further lowering of offers, which shows limited chances of a downward price correction in the near term. However, market participants are hopeful that mills will resume bookings shortly.
  
  

SteelMint's bi-weekly assessment for shredded scrap of UK/EU-origin stands at $530- 535/t CFR Port Qasim, up $10-15/t compared to the beginning of this week.

• India's imported scrap prices rise in recent deals: The imported scrap trade into India has slowed down of late after observing active transactions over the last two weeks. With domestic scrap, sponge iron and billets prices weakening in the second half of the week, imported scrap trade activities also weakened a bit. However, market participants expect imported scrap trade to recommence from next week onwards on active demand and peak season ahead.
  
  

SteelMint's bi-weekly assessment for shredded scrap of UK/EU-origin stands at $530/t, up by around $15-20/t w-o-w.