South Asia: Imported ferrous scrap offers range-bound; slowdown grips Pakistan, Bangladesh
...
The South Asian ferrous scrap markets showed a mixed trend today. In India, inquiries have improved for imported scrap owing to improved finished steel demand and an uptick in domestic scrap prices. Meanwhile, Pakistani buyers maintained a cautious stance, favouring domestic scrap over imports due to cost effectiveness amid sluggish finished steel sales. In Bangladesh, moderate interest in imported scrap was evident, influenced by a subdued domestic steel market and buyer apprehension regarding price fluctuations.
Shredded scrap offers edged up by $2/t in India, while they remained unchanged in Pakistan and inched down by $1/t in Bangladesh. US bulk HMS (80:20) offers to Turkiye edged down by $2/t compared to the last closing on Friday.
Overview
India: In India, the demand for imported scrap remained moderate today. Inquiries have improved in the market for imported scrap amidst a surge in domestic scrap prices. In the domestic market, demand for finished steel has improved due to restocking demand on anticipation of a bullish outlook post elections; this is supporting domestic scrap prices.
Indicative offers for shredded scrap from the US and UK/Europe were heard in the range of $420-430/t CFR, while HMS (80:20) offers from west Africa and Europe were at $400-410/t CFR.
Pakistan: Pakistani buyers continued to remain away from the market today, as finished steel sales remained sluggish and domestic scrap prices remained more favourable compared to imported scrap. Indicative offers for shredded scrap from the UK/Europe were reported at $420-425/t CFR.
In the local market, domestic scrap prices were noted at around PKR 155,000/t, while rebars were priced between PKR 245,000-255,000/t.
Additionally, around 500 t of PNS scraps were booked from the UK at around $428/t CFR Qasim.
Bangladesh: Bangladeshi buyers exhibited a moderate interest in imported scrap, influenced by a slowdown in the domestic steel market and buyer apprehension regarding price volatility. Shredded scrap offers from the UK/Europe were evaluated at approximately $420-425/t CFR Chattogram, while HMS (80:20) offers were assessed at $400-405/t CFR.
Turkiye: The Turkish imported ferrous scrap market experienced a minor decline subsequent to recent transactions from the US and Europe.
- A steel mill located in west Marmara secured a mix scrap shipment from the US, comprising HMS (80:20) priced at approximately $383/t, along with shredded scrap and bonus scrap, both priced at $403/t. However, the exact quantity of the cargo could not be verified at the time of publishing this report.
- Another Turkish steel mill finalised a deal for HMS (90:10) scrap from the US at around $386/t CFR.
- Additionally, an Aegean steel mill procured HMS (80:20) scrap from Europe at $378/t CFR.
Price assessments
India: UK-origin shredded scrap indicatives were assessed at $424/t CFR Nhava Sheva, up by $2/t compared to the last closing on Friday.
Pakistan: UK-origin shredded indicatives were assessed at $423/t CFR Qasim, stable compared to the last closing on Friday.
Bangladesh: UK-origin shredded prices were assessed at $424/t CFR Chattogram, down by $1/t compared to last Friday.
Turkiye: US-origin HMS (80:20) bulk prices were assessed at $383/t CFR Turkiye, down by $2/t compared to last Friday.