Business activity in the Bangladeshi scrap market has not revived so far this week after the holidays, though market insiders expect more trade activity next week since many buyers have been looking for materials to replenish their stocks. At the same time, import scrap offers have remained mostly stable in Bangladesh this week, especially for scrap in containers, while in the bulk segment, customers have been pushing for more discounts given the drop in ex-Japan prices.
Accordingly, indicative offers for ex-EU/UK shredded scrap in containers have remained at $390/mt CFR, the same as at the end of December, though most customers have reported a very limited number of offers from this source. Offers for shredded scrap from Australia have been reported at $375/mt CFR, though a few bids have already been voiced at $370/mt CFR. Besides, offers for ex-Australia HMS I/II 80:20 scrap have settled at $365/mt CFR.
Offers for PNS scrap from Singapore and Malaysia have been voiced at $385/mt CFR, down by $10-15/mt over the past two weeks. Besides, according to sources, a few deals for ex-Hing Kong PNS scrap have been signed at $380-385/mt CFR this week.
In the bulk segment, offers for ex-Japan H2 scrap have moved down to $345/mt CFR level, down by $10-15/mt over the past few weeks, while customers’ bids have been heard at $340/mt CFR. Besides, offers for ex-Japan HS scrap have been voiced at $375/mt CFR, while the tradable price has been estimated at $365/mt CFR, according to sources. In the meantime, offers for ex-US West Coast for HMS I/II 80:20 scrap have been voiced at $370/mt CFR, down by $5/mt since last December, while offers for shredded and bonus grade scrap have settled at $375/mt CFR and $380/mt CFR, respectively. “Given the current offers for ex-Japan scrap in bulk, which are so low as compared to other offers, Bangladeshi customers are likely to ask for $355-360/mt CFR for ex-US HMS scrap,” a Bangladeshi trader told SteelOrbis, adding, “More clarity and more deals are expected next week.”
Furthermore, offers for ex-Singapore for HMS I/II 80:20 in bulk have been voiced at $375-380/mt CFR, which is considered to be overpriced given the cheaper options from other suppliers.