Ferrous Market Update 08/07/2020
- The daily Davis Index for Turkish imports of US-origin HMS 1&2 (80:20) climbed by $0.50/mt to $284.96/mt cfr on Friday with two new sales.
- Turkish imported ferrous scrap market was busy this week and according to market participants, mills bought at least 300,000mt of scrap for September shipment. The most recent deals from the USA and the Baltic region were closed at $285/mt cfr for HMS 1&2 (80:20).
- Trading was also reported in the Azov-Black Sea basin, where two cargoes of A3 scrap from Rostov-on-Don were sold at $280-284/mt cfr Karadeniz this week.
- In the domestic market Turkish mills raised purchase prices for shipbreaking scrap by $5/mt to $275/mt delivered over a week.
- The domestic billet market in Turkey was active this week as new deals were heard on Friday at slightly below $425/mt ex-works for around 20,000mt of semis, after some sales at around $420/mt ex-works were reported on August 6. All mills increased offers to $430/mt ex-works.
- Daily domestic rebar spot prices increased significantly by TRY30-80/mt ($4-11/mt) across Turkey to TRY3,800-3,880/mt ex-works, including 18pc VAT on Friday, but business activity slowed down amid Turkish currency fluctuations against the US dollar. ($1 = TRY7.20)
- The weekly Davis Index for HMS 1&2 (75:25) in the ARAG region climbed by €1/mt ($1/mt) to €200/mt delivered dockside on Tuesday.
- Most ferrous scrap exporters in the Netherlands and Belgium did not revise dockside prices early in August, considering the most recent sales to Turkey, euro revaluation against US dollar, and high freight rates, which were pegged at around $19/mt for 30,000mt-cargoes. (€1 = $1.17)
- The weekly Davis Index for HMS 1&2 (80:20) or A3 scrap from Russia’s Baltic Sea and Black Sea regions rose by $11/mt and by $8/mt, respectively, amid bullish sentiment on export. Both indexes settled at $258/mt fob on Monday.
- Collection prices for ferrous scrap increased in Russia as positive sentiment prevails in the export market. The weekly Davis Index for HMS 1&2 (80:20) or A3 scrap rose by RUB525/mt ($7/mt) in St Petersburg dock to RUB15,525/mt delivered on Monday and by RUB450/mt ($6/mt) to RUB14,200/mt delivered in Rostov-on-Don dock. ($1 = RUB73.68)
- Davis Index’ weekly north and south UK HMS 1&2 ferrous scrap indices increased £7/mt ($9/mt) and £6/mt over the past week, respectively, delivered dockside on Tuesday.
- A flurry of fresh Turkish deep-sea ferrous scrap orders from UK bulk suppliers over the past week prompted many processors to lift dockside prices to secure stable inflows and fill booked vessels.
- Indeed, Turkish HMS 1&2 (80:20) ferrous scrap import prices have climbed $7.47/mt to a new five-month high.
- Rumors also surfaced last week that three major bulk ferrous scrap processors in the UK’s southwest region found themselves in a private bidding war to secure volumes.
- At the same time, other suppliers noted that Indian and Pakistani demand for UK-origin containerized shredded and P&S ferrous scrap had noticeably slowed.
- The weekly indices for north and south UK OA (Plate & Structural) climbed £10/mt and £8/mt over the past week respectively delivered dockside on August 4.
- The indices in north and south for UK 5A/5C (frag feed) ferrous scrap were unchanged over the same period.
- Davis Index’ UK small bulk ferrous scrap HMS 1&2 (80:20) and shredded indices remained unchanged on Friday. (£1 = $1.31) (€1 = $ 1.18)
- Davis Index’ weekly northern Spain HMS 1&2 (80:20) and shredded small bulk ferrous scrap indexes remained unchanged on Friday.
- Some Spanish buyers kept bidding at €220/mt for cargoes of HMS 1&2 (80:20) while bulk exporters asserted that the strength in major seaborne benchmarks, particularly to Turkey, should by proxy mark the Spanish HMS 1&2 (80:20) import market at around €225/mt.
- Spanish ferrous scrap importers, on the other hand, appeared to be content to sit back on their bids citing sufficient domestic supply availability for current, but heavily reduced production schedules. (€1 = $ 1.18)
- US domestic ferrous scrap trading concluded on Friday with prices ranging from up $20-30/gt and sideways, to down $20-30/gt depending on grade, region, timing, mill requirements, and export influence.
- The East Coast and the Carolinas encountered the largest price gains on cuts and shredded with prices increasing by $25-30/gt and $20-25/gt, respectively. Prime grades remained mostly sideways.
- The South primarily encountered an increase on cuts and shredded of $10/gt with prime grades also trending sideways, although, depending on region some prime grades deals declined by up to $10/gt compared to last month’s deals.
- Overall, the trades in August went better than originally expected and deal prices benefitted those who waited. The same prices purchased in Detroit, Chicago, and elsewhere early in the week are no longer available.
- Multiple mills and brokers circled back towards the end of the day yesterday with buyers just in case inventories remained. Brokers were looking for export, including barges going out via New Orleans.
- At this moment, it is difficult to report an uptick for September prices despite positive sentiment, due to the sustainability of exports given the uncertainty from the COVID-19 pandemic in Asian markets as well as domestically.
- Domestic mills are slowly incrementing capacity, but finished steel sales both in flats and longs must strengthen. Most scrap yard sellers reported a positive expectation for the early September scrap week with reservations on “too many variables that could change.”
- In Chicago, P&S 5ft gained about $11/gt in August settlements. Shredded increased by $12/gt from July settlements and #1 busheling declined by $10/gt.
- The Davis Index for #1 busheling in Philadelphia increased by $11/gt and rose by $29/gt for shredded with gains attributed to export prices and activity.
- In the Carolinas, the David Index for HMS1&2 (80:20) increased by $22/gt and P&S 5ft went up by $23/gt. In other areas of the Southeast shredded scrap was reported on Friday at up to $280/gt delivered.
- Panning south to Texas, the Houston Davis Index for HMS1&2 (80:20) increased by $11/gt, while busheling decreased by $3/gt. The P&S 5ft index increased by $11/gt while shredded index rose by $12/gt.
- US West Coast ferrous scrap dock prices continued their uptrend from last week with the northern docks leaping on Tuesday after regional domestic mills began to trade.
- Dock prices were markedly behind the domestic mill prices throughout July and had to increase offers to draw inventories as some scrapyards have not sold to docks for months, instead committing August stocks to mills.
- The weekly Davis Indexes in Portland increased by $17/gt for HMS 1&2 (80:20) and by $16/mt for P&S 5ft. Docks actively negotiated with scrapyards for volumes and were reportedly reaching out and adding $15-20/gt to cover long-distance freight.
- The weekly Davis Indexes in San Francisco increased robustly on Tuesday after a mild rise last week. HMS 1&2 (80:20) increased by $28/gt and P&S 5ft rose by $21/gt. In the face of domestic purchasing, docks increased prices to lock in inventories to satisfy export demand.
- Export demand increased over the past few weeks with the expectations of the trend continuing throughout August as Asian countries seek to increase domestic production after the first wave of the COVID-19 pandemic.
- In Los Angeles, the weekly Davis Indexes did not change. The momentum from the northern ports is expected to create an uptick in LA dock prices in the future.
- US East Coast dock prices for ferrous scrap remained strong amid healthy demand for imported scrap that continues from Turkey. US sellers are offering export HMS 1&2 (80:20) at $285/mt cfr to Turkey, a $10/mt increase from July 28. Sellers report that Turkish mills are actively buying material to fulfill September’s needs.
- Dock collection prices ranged between $210-220/gt on Tuesday, an increase of $15/gt on average, compared to about $195-205/gt a month ago. Prices on the East Coast docks have risen consistently throughout July, although in slight increments.
- Market participants expect a further increase of $5-10/gt later this week in line with higher export activity.
- In Boston, the weekly Davis Index for export yard HMS 1&2 (80:20) ticked up by $6/as P&S 5ft increased by $7/gt.
- The Davis Indexes in New York increased by $13/gt for HMS 1&2 (80:20) and by $11/gt for P&S5 ft.
- In Philadelphia, the index for HMS 1&2 (80:20) increased by $9/gt with P&S 5ft moving up by $9/gt as well.
- The weekly Davis Indexes in Houston remained unchanged.
- US containerized ferrous scrap indexes increased on the West Coast for the fourth consecutive week and rebounded by $6-8/mt on the East Coast as export activity increased. Both coasts are trending up in tandem for the second consecutive week.
- Buyers report increased offer prices on both coasts and lower bids are being rejected on expectations of increasing containerized prices.
- On the East Coast, prices on shredded in the past few days increased to $270-275/mt fas with a bid for $270/mt fas rejected towards the end of the week. In Los Angeles, bids of $235/mt fas were starting to get rejected by sellers on Thursday.
- The weekly Davis Index in New York for #1 busheling increased by $6/mt, while HMS 1&2 (80:20) went up by $7/mt. The index for P&S 5ft rose by $7/mt and increased for shredded by $8/mt.
- Pakistani and Bangladeshi buyers regained inquiries post-holiday to compete for inventories along with Indian, Vietnamese, and Taiwanese buyers.
- Buyers were motivated to purchase this week to avoid higher prices next week. Additionally, more Pakistan inquiries are expected in the coming week, which will place further pressure on inventories and support prices.
- Expectations of infrastructure investments are supporting higher scrap buying prices from Asian buyers.
- Japanese scrap export offers along with stronger Turkey import scrap prices continue supporting higher offers from other scrap sources and the US for both bulk and containers.
- Sustainable export activity is expected to support containerized prices through August.
- The weekly Davis Indexes in Los Angeles for HMS 1&2 (80:20) increased by $6/mt with P&S 5ft and shredded indexes both increasing by $10/mt. P&S 5ft and shredded scrap continue maintaining equal pricing levels now for the fourth week.
- The Davis Indexes in San Francisco increased across all grades with HMS 1&2 (80:20) rising by $6/mt and P&S 5ft increasing by $5/mt.
- The indexes in Seattle inched up as well on regional activity with #1 busheling rising by $5/mt and HMS 1&2 (80:20) going up by $3/mt.
- Domestic ferrous scrap prices fell in Mexico’s North and Bajío due to low demand but remained unchanged in the Central area.
- At the beginning of August, prices in Bajío declined by around MXN200/mt ($8.9) but market participants expect scrap prices in the region to stabilize later this month.
- In Northern Mexico, the weekly Davis Index for P&S 5ft and #1 busheling fell by MXN159/mt and MXN25/mt, respectively. The index for shredded remained unchanged but rose by MXN63/mt for HMS 1&2 (80:20).
- The weekly Davis Index in Bajío declined by MXN25/mt for HMS 1&2 (80:20) and decreased for #1 busheling and P&S 5ft by MXN125/mt and MXN50/mt, respectively. Shredded remained unchanged from last week.
- In Central Mexico, the Davis Index for all ferrous scrap grades remained unchanged.
- In the Kanto region, suppliers raised offers by JPY1,000/mt from the prior week. Scrap supply is tight, and prices are likely to remain firm following global cues. The weekly index for shredded rose by JPY750/mt fas Tokyo bay Japan.
- The Davis Index for #2 HMS increased by JPY750/mt from the prior week. Yards raised offers for #1 busheling (shindachi), but no importers were interested in the current levels amid weak finished steel demand. Many buyer countries opted for Russian scrap instead.
- The Davis Index for Japanese HMS 1&2 (50:50) in small bulk cargoes rose by $11/mt from the prior Wednesday.
- Posco steel raised bids for Japanese HS scrap by JPY800/mt from the prior week. Billets offers for buyers in the Philippines and Thailand were $10/mt higher than the prior week.
- Most EAF steelmakers in the Kanto region raised their bids by JPY500/mt ($4.7/mt) from the prior week since suppliers refused trades at previous price levels.
- On Friday, Tokyo Steel has announced a purchase price hike of JPY500/mt ($5/mt) for all grades of domestic scrap delivered to its Utsunomiya, Tahara, and Kyushu plants. Bids for domestic scrap at its other two works, Okayama and Takamatsu steel center, however, were kept unchanged.
- Scrap trades in the domestic market are expected to remain slow amid maintenance activities scheduled by steelmakers. Mountain day on August 10 and Obon festivities from August 13-16 will also impact trades.
- The monthly scrap export tender, Kanto Tetsugen, is scheduled to be announced on August 19. The results of the Kanto tender are expected to offer further clarity on Japan’s export prices. ($1=JPY105.58)
- The weekly Davis Index for containerized HMS 1&2 (80:20) settled up by $7/mt on global cues and domestic scrap shortage. Mills booked containerized scrap in limited volumes.
- Most importers were rather interested in bidding for Russian bulk cargoes priced lower.
- The index for US-origin shredded rose by $6/mt with no trades heard. The weekly index for containerized #1 HMS and machine shop turnings increased by $5/mt.
- In the bulk market, 10,000mt of Russian A3 scrap was booked at $4.5/mt cfr higher than the prior bulk deal.
- Offers for Japanese #2 HMS were up by JPY1000/mt from the prior week.
- The weekly Davis Index for domestic Light A delivered Pohang mill was up by KRW5,000/mt.
- A few mills in South Korea booked bulk cargoes from Japan. South Korean domestic scrap prices started rising this week following global cues. Mills raised their domestic scrap purchase prices by KRW5,000/mt this week.
- The Davis Index for domestic Heavy A was unchanged del Incheon. The index in Pohang, however, rose by KRW5,000/mt from last week.
- The weekly Davis Index for domestic Light A delivered Pohang mill was also up by KRW5,000/mt.
- Offers for Japanese #2 HMS were up by JPY500/mt from the prior week.
- The Davis Index for containerized US-origin HMS 1&2 (80:20) fell by $1/mt from the prior day but was up by $7/mt from a week ago.
- Market participants are expecting a further rise in offers amid increased buying in Southeast Asian countries. The weekly Davis Indexes for both containerized #1HMS and P&S 5ft were up by $6/mt.
- The index for weekly shredded increased by $8/mt from the prior week, and by $15/mt from June 30.
- A rise in rebar and billet prices by TWD200/mt gave domestic ferrous scrap a lift in some parts of the country. Some mills offered TWD200/mt discounts on listed prices to boost trades.
- The Davis Index for domestic HMS 1&2 (80:20) in South and North Taiwan, rose by TWD250/mt from a week ago. ($1=TWD 29.34)
- In China, Shagang Steel reduced bids for domestic #2 HMS (6-10mm thickness) by CNY30/mt del Jiangsu mill, inclusive of 13pc VAT.
- The mill kept its rebar prices unchanged from the prior week for early August shipments. ($1=CNY7)
- In the containers market, the weekly indexes for HMS1&2 (80:20) rose by $13/mt, P&S 5ft increased by $13/mt, and shredded rose by $5/mt.
- Buyers in the country mainly focused on bulk bookings and an unconfirmed deal was heard for 30,000mt of mixed scrap from the US, including 4,000mt of HMS 1&2 (80:20), 22,000mt of shredded and 4,000mt of P&S 5ft cfr Vietnam. Offers were at least $10/mt above last week’s price levels.
- A shortage of domestic scrap and an anticipated surge in demand for finished steel in September, has given demand a push with more focus on bulk buying.
- The Davis Index for domestic HMS 1&2 (80:20) settled up by VND100,000/mt from the prior week. Due to increasing COVID-19 cases in Vietnam, demand for finished steel has remained low for a couple of months now. Demand for HRCs in the export market, however, has been rising due to active purchases by Chinese buyers.
- Traders expect domestic scrap prices to be impacted by Formosa Ha Tinh’s price hike for finished steel in the domestic market.
- Most mills have ramped up production amid expectations of improvement in finished steel trades since major infrastructure projects are scheduled to commence soon.
- A shortage of domestic ferrous scrap made buyers resort to overseas trades.
- Bids by Indonesian mills are higher than most Asian markets at present, making Indonesia a preferred destination for containerized scrap exporters. The weekly index for HMS 1&2(80:20) rose by $8/mt.
- The weekly indexes for #1 busheling and shredded rose by $3/mt. The index for #1HMS rose by $15/mt.
- After returning from the Eid-Al-Adha holidays, most buyers have gone into a wait-and-watch mode expecting containerized scrap prices to drop.
- The weekly Davis Index for domestic HMS 1&2 (80:20) inched up by THB650/mt delivered Rayong mill, inclusive of taxes. ($1=THB30.60)
- Prices for domestic HMS 1&2 (80:20) increased amid a rise in imported scrap and iron ore prices. The indexes for the grade settled up by MYR45/mt delivered western mills and MYR80/mt delivered eastern mills, inclusive of taxes from the prior week. ($1=MYR4.24)
- Imported ferrous scrap prices in India remained on an uptrend. Finished steel prices also rose during the week. Most steelmakers have ramped up production and demand for scrap is high.
- Limited availability of ferrous scrap, globally, along with a tight supply of domestic and sponge iron has pushed up prices in India.
- The Davis Index for containerized shredded, cfr India subcontinent Friday, rose by $8.24/mt from last week. Trades, however, remained slow amid festivals in central and western regions of the country.
- In the bulk market, bids remained $10-15/mt lower than offers.
- Around 60,000mt of billets were reportedly traded with Chinese buyers over this week. Billet export prices were largely flat from a week ago and thus a rise in imported ferrous scrap prices led to narrowed spreads for steelmakers.
- The index for containerized shredded cfr Nhava Sheva on Friday rose by $9.73/mt from the prior week. Indian alloy makers were forced to accept high offers for shredded as other South Asia buyers have started bidding higher on stronger Turkish bulk prices.
- The Davis Index for UAE-origin containerized HMS 1&2 (80:20) was up by $7.5/mt cfr Nhava Sheva from the prior week.
- Trades for South American and Australian-origin HMS 1&2 (80:20) closed at $10/mt from the prior week.
- The index for US-origin HMS 1&2 (80:20) rose by $9.57/mt from the prior week. The weekly indexes for busheling and P&S in containers rose by $15/mt and $10/mt, respectively. ($1=Rs74.95)
- Domestic ferrous scrap prices on Friday lost steam and were flat to down in Mumbai and Mandi Gobindgarh markets. Heavy rains in Mumbai have subdued trade.
- In Mumbai, the daily Davis Index for HMS 1&2 (80:20) settled unchanged delivered mill.
- In Mandi Gobindgarh, the daily index for HMS 1&2 (80:20) fell by Rs200/mt del mill. A fall in ingot prices pressured ferrous scrap prices.
- In Indore, the bi-weekly Davis Index for HMS 1&2 (80:20) rose by 500/mt ($6.67/mt) from Tuesday del mill. Demand and prices for finished steel, however, have recorded a comparatively lower upward trajectory.
- In South India, ferrous scrap prices were also largely unchanged del Chennai and Hyderabad mills. Most steelmakers have already stocked up raw material and are expected to return to the markets once the inventories start dipping. ($1=Rs74.96)
- Inquiries for imported ferrous scrap remained high in Pakistan and a few trades were reported at $5-10/mt higher than early last week. Economic activities could gain momentum amid resumption in housing projects and incentives announced by the government to mitigate the COVID-19 impact.
- The Davis Index for US-origin containerized shredded cfr Port Qasim on Friday rose by $8.62/mt from a week ago.
- The index for US-origin HMS 1&2 (80:20) cfr Port Qasim rose by $9.97/mt. Only a few US yards offered material on anticipation of a further increase on Friday.
- Limited trades for HMS 1&2 (80:20) were reported from the UAE, UK, Europe, and South America. The weekly Davis Indexes for P&S and busheling rose by $3/mt and $4/mt, respectively.
- Steel prices in Pakistan were supported by bullish imported ferrous scrap prices.
- The weekly Davis Index for commercial Bala billet ex-works Punjab moved up by PKR250/mt from the prior week.
- The weekly Davis Index for G-60 rebar moved up by PKR500/mt. The weekly index for Art Pure Q equivalent to shredded moved up by PKR500/mt. ($1=PKR168.09)
- Bangladeshi steel mills returned to the ferrous market after the conclusion of Eid holidays early in the week. Trades for a few Japan and US-origin bulk cargoes were reported this week.
- A Chattogram-based steelmaker was heard to have booked a 30,000mt cargo from a West Coast US supplier with 22,000mt of shredded and 8,000mt of HMS 1&2 (80:20) at prices which were $10-15/mt lower than current market levels.
- Two small bulk cargoes from Japan, each consisting of 10,000mt HMS 1&2 (50:50) and busheling traded this week at prices that were $10-15/mt higher than prior trade levels.
- The Davis Index for containerized shredded, Friday, rose by $4.82/mt from the prior week.
- Most Dhaka-based mills were reluctant to book material at current price levels and preferred to import sponge iron from India or buy domestic scrap, which was priced $15-20/mt lower than imported scrap.
- The weekly indexes HMS 1&2 (80:20) rose by $7.43/mt for US-origin, by $8/mt for Latin American.
- Trades for #1 HMS from Australia and Brazil were at prices $10/mt from the prior week.
- The weekly index for domestic billet rose by BDT500/mt from the prior Friday ex-works Chattogram. Weak end-user demand amid heavy rains and floods subdued trading activity but high imported scrap prices lifted domestic steel prices in Bangladesh.
- Major steelmakers in Chattogram kept their rebar offers firm despite weak demand. Rebar by small-scale producers was offered at prices BDT500/mt higher than the prior week.
- The Davis Index for shipbreaking scrap equivalent to P&S moved up by BDT500/mt from the prior week. Scrapped ships were offered at prices $5-10/ldt higher than the prior week. ($1=BDT84.57)
- The weekly Davis Index for CIS basic pig iron increased by $9/mt to $329/mt fob Black Sea amid new bookings in Turkey and Italy. Limited availability provided additional support for higher prices.
- Turkish mills continued pig iron purchases in line with ferrous scrap bookings and accepted higher prices. A Ukrainian supplier sold a pig iron cargo at $343-348/mt cfr Turkey early in August, while Russian material changed hands at $335-340/mt cfr last week. A Russian exporter traded 5,000mt of low-manganese pig iron at $335/mt fob, which would equate $347-350/mt cfr Turkey including freight rates.
- Negotiations finally resulted in deals in Italy with a Ukrainian supplier selling two pig iron cargoes at $342-343/mt cfr and $347-348/mt cfr.
- Prices also increased in Italy, following an uptrend at alternative outlets. As a result, the weekly Davis Index for CIS pig iron in Italy rose by $7/mt to $345/mt cfr on Friday.
- The weekly Davis Index for basic pig iron (BPI) was unchanged on Thursday as the US market focused on August domestic scrap trading and BPI imports remained inactive.
- Producers offered material at $355-365/mt cfr Nola from the CIS and Brazil as elevated offer levels to the US endured on higher prices to other locations.
- The domestic scrap market is showing signs of upward potential, possibly by September, and BPI activity is expected to resume in the US over the next few weeks with projections of increased prices.
- The Davis Index for nodular pig iron (NPI) imports also remained unchanged as offers for the material are limited without new deals confirmed.
- The weekly Davis Index for US hot briquetted iron (HBI) imports increased by $5/mt cfr Nola, the likely price range if the material was offered this week. However, there are no offers or deals reported for HBI amid low demand.
- In Mumbai, the daily Davis Index for sponge iron rose by Rs50/mt del mill. Sponge iron prices have been rising for the past couple of weeks due to short supply.
- In Mandi Gobindgarh, the daily index for sponge iron settled unchanged. The price gap between sponge and scrap which is usually around Rs1,000-1,200/mt has now narrowed to merely Rs200/mt.
- In Indore, the bi-weekly Davis Index for sponge iron rose by 500/mt ($6.67/mt) from Tuesday del mill. In the past two weeks, steel markets have improved said most steelmakers.
- In South India, the index for sponge iron settled unchanged del Chennai mill but was up by Rs300/mt del Hyderabad mill. ($1=Rs74.96)
- The Davis Index for rebar in Mumbai rose by Rs500/mt ($6.67/mt) from the prior week but remained unchanged from Thursday. The index for billets fell by Rs400/mt ($5.33/mt) from Thursday but rose by Rs450/mt ($6.003/mt) from the previous Friday.
- In Raipur, the daily index for billet increased by Rs1,350/mt ($18.01/mt) due to a rise in sponge iron prices and a shortage of semi-finished steel in the central part of India. The index for rebar rose by Rs600/mt ($8/mt) from last week and fell by Rs200/mt ($2.66/mt) from a day prior.
- In Mandi Gobindgarh, the index for ingot dropped by Rs200/mt ($2.66/mt) from Thursday but rose by Rs350/mt ($4.66/mt) from the prior week.
- In Durgapur, the bi-weekly, Davis Index for rebar rose by Rs1,150/mt ($15.33/mt).
- Raw material prices have risen due to a supply crunch. Manufacturers are expecting demand to dip soon as construction activities are likely to slow due to heavy rains.
- The index for billet declined by Rs650/mt ($8.66/mt) from the prior week.
- In Chennai, manufacturers struggled with a persistent shortage of raw materials. With firm input prices, mills raised prices for billets.
- An unconfirmed deal for 32,000mt of billet was heard cfr China this week.
- Indian shipbreaking prices declined on Friday by Rs500-600/mt due to a slowdown in demand from the Northern region. However, the index for 14Ani increased by Rs400/mt ex-Alang from last week.
- Demand for the rolling scrap increased this week as mills ramped up production to fulfill the demand from end-users.
- The index for HMS attachments and Melting rose by Rs800/mt from prior Friday as mills preferred local scrap over imported due to its lower delivery period.
- Demand for steel plates also shown a sign of recovery this week, the index for 2kg plates rose by Rs300/mt from last Friday.
- Shipbreaking scrap prices are expected to increase in the coming week as demand for ingots in North India and Gujarat markets is expected to rise.