Prices for import scrap in South Korea have posted a sharp rise this week after the recent ex-US deal. Japanese and Russian suppliers have also increased offers, though overall demand has been only moderate.
A contract for 30,000 mt of ex-US HMS I scrap has been signed to major South Korean steel mill Dongkuk Steel at $443.5/mt CFR for April delivery, according to market sources. The previous deal for ex-US HMS I scrap was done at $398/mt CFR to Hyundai Steel, as reported on February 1.
Subsequently the tradable level for ex-Russia A3 scrap has increased to $430/mt CFR, according to sources, while the previous transaction was at $391/mt CFR in early February.
According to reports, the latest deals for ex-Japan H2 scrap were at JPY 40,500/mt ($382/mt) FOB or slightly above, with 20,000-30,000 mt booked last week. But this week offers have increased further and no new deals have been closed at the higher level so far. At the moment, customers from S. Korea would need to pay at least JPY 42,500/mt ($401/mt) FOB to attract some volumes.