Prices for Russian scrap have declined further late last week after the signing of a new deal. This reflects lower demand for imported scrap in South Korea. However, the downtrend in the import scrap markets of other Asian countries has already stopped, according to sources.
Hyundai Steel purchased 20,000 mt of A3 scrap at $281/mt CFR late last week, down by $5/mt from the previous transaction made by Dongkuk Steel in early October. The last time, Hyundai Steel had bought A3 scrap from Russia at $303/mt CFR in mid-September.
At the same time, sources have said that the majority of sellers have been resisting lower prices. The recent deal price for Russian scrap is equivalent to around $291-295/mt CFR for ex-US HMS I, but “no one will give this,” a source said, adding that suppliers from the US can find a number of markets, where prices are visibly higher than in South Korea. The tradable value for ex-US HMS I/II 80:20 in Vietnam is staying at $307/mt CFR.