Prices for imported scrap from the US have posted another decline this week in Taiwan due to negative sentiment on the buyers’ side and the still weak near-term outlook in the global market. Steel mills have been interested in purchases and have been looking for material, but offered volumes have declined as sellers have been resisting a further downtrend.
Prices for ex-US HMS I/II 80:20 scrap in containers have lost $10/mt over the past week and have come to $355-360/mt CFR, while by the end of the week most bids have been closer to $350/mt CFR. But “there were very little offers in the market. Buyers were trying to buy as much as possible,” a steel mill from Taiwan said.
In contrast to prices from the US, prices for ex-Japan H1/2 50:50 scrap by bulk have increased, following higher dock prices and the better post-holiday outlook. Early this week, offers were reported at $380/mt CFR Taiwan from Japan, up by $15/mt from last week.
The market in Taiwan will be calm next week due to the holidays, while for the post-holiday period expectations are cautiously optimistic. Market sources believe that China will resume its purchases of imported scrap and will support prices.