East Asia: Japanese H2 scrap prices stable amid Lunar New Year lull
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- Tokyo Steel raises domestic scrap prices
- Vietnam market quiet during holidays
East Asian scrap markets remained largely stable on 23 February, with Japanese export prices holding stable and Vietnamese buying activity subdued amid Lunar New Year slowdown. Limited spot transactions and balanced supply-demand dynamics kept price movements muted across regional and deep-sea segments.
- Japanese H2 scrap was at $338/tCFR Vietnam, stable w-o-w.
- Japan's H2 scrap at JPY 45,600/t ($295/t) FOB Tokyo Bay, stable w-o-w.
- US-origin HMS 80:20 bulk stood at $359/t CFR Vietnam, stable w-o-w.
H2 scrap stable amid Lunar New Year lull
BigMint assessed Japan's H2 scrap at JPY 45,600/t ($295/t) FOB Tokyo Bay, unchanged w-o-w, reflecting steady exporter sentiment despite thin trading volumes. No firm bids were reported, though a tradable indication was heard at $330/t CFR.
Ferrous scrap export prices remained stable in the week ended 23 February, with limited spot activity during the Lunar New Year period. H2 offers to Vietnam were heard at $340-345/t CFR, broadly unchanged from $335-340/t CFR earlier in the week.
Tokyo Steel raised its scrap purchase prices by JPY 1,000/t ($6/t), effective 21 February, marking its second hike this month. The increase, applicable to all plants except Takamatsu, was supported by firm export demand tightening domestic scrap supply despite weak local steel output.
Vietnam: Buying interest muted due to holiday slowdown
Vietnam's imported scrap market remained largely quiet, as most mills and traders were away for Lunar New Year festivities. Market participants stated that reduced inquiries and limited engagement, with buyers stepping back from active negotiations.
The absence of firm bids and wide bid-offer gaps kept transactions minimal, while mills were heard to have largely paused procurement during the holiday week.
The deep-sea bulk scrap segment remained steady, with HMS 80:20 at $345-350/t CFR East Asia and US-origin offers at $358-360/t CFR Vietnam, both unchanged w-o-w.
Overall, sentiment stayed stable but subdued due to holiday-induced inactivity.
Outlook
H2 scrap prices are likely to remain stable in coming days, with activity expected to pick up gradually after the Lunar New Year holidays. The deep-sea market may stay range-bound, with any price movement depending on renewed Vietnamese buying and trends in Turkiye's import market.
