South Asian imported scrap demand remains subdued; Turkish prices weaken further

• Buyers in India, Pakistan continue cautious procurement
  
  
• Turkish scrap prices weaken amid sluggish steel demand
  
  

South Asian imported ferrous scrap markets remained subdued on 3 July as weak steel demand and cautious buying continued to restrict fresh bookings across India, Pakistan and Bangladesh. Meanwhile, Turkish deep-sea scrap prices stayed under pressure amid limited buying interest and softer finished steel demand.

India: Imported ferrous scrap market remained subdued, with buying limited to immediate requirements amid weak steel demand and poor import economics. Although a deal for 600 t of Costa Rica-origin HMS 60:40 was concluded at $301/t CFR Chennai for August arrival.

Offer indications were heard at $330/t CFR for UK-origin HMS, $385-390/t CFR for UK-origin shredded scrap, $400-410/t CFR for Malaysia-origin CR busheling, $380-390/t CFR for Costa Rica-origin NTP, and $305-310/t CFR Chennai for Malaysia-origin turnings. Buyers remained $15-20/t below UK shredded scrap offers, reflecting continued resistance to prevailing import prices.

Pakistan: The imported shredded scrap market remained subdued, with buying activity restricted to immediate requirements as weak steel demand continued to weigh on sentiment. Buyers indicated workable levels of around $395/t CFR against offers of $400/t CFR for UK-origin shredded scrap. Meanwhile, Malaysia-origin CR busheling was offered at $430/t CFR Qasim, while LMS and HMS 80:20 offers were heard at $360/t CFR and $390/t CFR, respectively.

Bangladesh: Imported ferrous scrap prices remained under pressure, with buyers maintaining a wait-and-watch approach amid weak steel demand and falling global scrap prices. Fresh booking activity remained limited, although a deal for UK-origin shredded scrap was reported at $400/t CFR Bangladesh. Offer indications were heard at $385/t CFR for Latin America-origin HMS 1 against bids at $370/t CFR, and $375/t CFR for UK-origin HMS against bids at $365/t CFR, reflecting the continued wide bid-offer gap and cautious buying sentiment.

Turkiye: Deep-sea imported scrap prices remained under pressure on 3 July as limited buying interest and weak finished steel demand continued to weigh on market sentiment. Trading activity remained subdued as Turkish mills continued to push import prices lower.

A bulk deal was reported for Netherland-origin HMS 80:20 at $368/t CFR. Tradable values for US-origin HMS 80:20 were heard at $375-378/t CFR, while Europe-origin HMS 80:20 was workable at $365-368/t CFR. Offers from US and Baltic suppliers remained limited, with market participants expecting further downside if steel demand fails to improve.