One of the major South Korea scrap importers Hyundai Steel has announced its new bid for Japanese H2 scrap at JPY 22,000/mt ($205/mt) FOB, JPY 500/mt ($4.7/mt) below the previous bookings to South Korea. This level is far below the offers from Japanese suppliers voiced last week at JPY 24,000/mt ($224/mt) FOB and the workable level at JPY 23,000-23,500/mt ($215-219/mt) FOB.
Though some volumes of Japanese scrap may be booked at this level, they will be very limited, most sources believe. “Basically no supplier will accept such a bid. This is a remarkably low bid,” the main Asian trader said. Suppliers are expecting better demand from Southeast Asia and East Asia in the near future. In general, sentiments are positive or stable.