As previously reported by SteelOrbis, the price of HMS 1&2 carbon scrap in the local Taiwanese market as of the second week of October was quoted at NTD 12,800-13,400/mt ($388-406/mt) ex-yard, including five percent VAT, for middle of November shipments. The price in question indicated a rise of NTD 100-400/mt ($3-12/mt) compared to the first week of October.
On the import side, it has been heard that the latest Japanese-origin HMS 1&2 carbon scrap offers for export to Taiwan are at around $370/mt CIF Taiwan; however, quantities are limited. Up to last week Taiwan's import scrap volume had not been registering huge amounts, and this may be seen as the main reason why the scrap price in the local Taiwanese market has remained firm.
However, reports of import scrap bookings have been increasing of late. Local mini-mills in the country are looking for ways to bring down the local scrap price due to their high raw material costs and the resulting elevated cost of rebars. This situation has caused a slowdown in downstream estate and construction activity.
Players in the local Taiwanese market predict that scrap prices will firm up further in the coming two to three weeks, while current import scrap offers are pretty firm already. South Korean buyers are reported to be keen to conclude scrap bookings-ex Japan. The general impression that the East Asian scrap market will not weaken in the short term is causing mini-mills to bid higher prices for scrap procurement.