Bangladesh’s import scrap market has posted decline in terms of prices and even though some deals after discounts have been done, most buyers are cautious amid weak finished steel demand and expectations that import scrap prices may soften further. SteelOrbis learned from trade and industry circles on Thursday, July 2, that sentiment is still subdued, though some market participants expect a gradual improvement towards late July or early August.
More specifically, ex-UK shredded scrap in containers have been sold at $400/mt CFR Chattogram this week, down by around $5-6/mt compared to the latest offer levels recorded last week. Meanwhile, ex-EU shredded scrap has been offered at the same level. As for ex-EU HMS I/II 80:20 scrap in containers, no firm offers have been heard with price assessment is around $370/mt CFR, $5/mt below the price seen last week. Market sources have stated that buyers are still waiting for lower prices. “Buyers are watching and waiting for prices to soften further before starting to buy,” a source in the market told SteelOrbis, while another market insider said that buyers are still holding back in the ex-EU segment.
As for ex-Australia material, HMS I/II 80:20 scrap in containers have been offered at $370-375/mt CFR Chattogram, down from $380/mt CFR Chattogram last week. According to market sources, some bookings were done. Fresh offers for HMS I/II 90:10 scrap from Australia/Fiji/PNG have been heard at $380-385/mt CFR Chattogram.
In terms of other origins, ex-Brazil HMS I/II 80:20 scrap in containers have been offered at $365-370/mt CFR Chattogram, while ex-Brazil shredded scrap in containers has been available at $395-405/mt CFR Chattogram. In the bulk segment, ex-US West Coast HMS I/II 80:20 scrap has been offered at $400-405/mt CFR Chattogram this week, down by around $5/mt compared to last week.
On the Malaysia/Singapore side, Malaysian PNS scrap has still been offered at the higher level of around $425/mt CFR Chattogram, with market participants stating that these levels remain difficult for buyers to accept under current demand conditions.
In the meantime, the local Bangladesh market has shown no clear signs of recovery, as finished steel sales have remained slow and mills have continued to procure scrap only for immediate requirements. Local sentiment has stayed cautious compared to last week, with buyers avoiding aggressive restocking until clearer signals emerge from downstream demand.
$1 = BDT 123.20
