Import scrap prices in Taiwan and Vietnam slump amid supply-demand imbalance

Friday, 07 February 2020 16:17:16 (GMT+3)   |   Istanbul

Import scrap prices have fallen by about $15-25/mt in Taiwan and Vietnam this week as all major suppliers have been flexible in their efforts to attract customers, who have been mainly cautious in purchases.

Offer of ex-US HMS I/II 80:20 scrap in containers to Taiwan have dropped by $10-15/mt over the past week to $235/mt CFR. At the same time, some deals have been done at $230/mt CFR, $15/mt below the level of previous transactions, SteelOrbis has learned. “Purchasing volumes were not big. I heard about 10,000 mt,” a Taiwan-based source said.

Moreover, Japanese scrap suppliers have become aggressive, taking into account their falling local demand and prices. Offers of ex-Japan HMS I/II 50:50 to Taiwan have been at $240-245/mt CFR this week, which is down by at least $15/mt week on week. Deals have been at below $240/mt CFR, sources have said.

In Vietnam, trading activity has been limited, also because of the announced rule that ships which have been in China recently should have a quarantine period of 14 days to prevent the spread of the coronavirus. The tradable level for ex-US HMS I/II 80:20 in Vietnam is assessed at $265/mt CFR, though a lack of offers has been heard. This level is about $20/mt below last week. Ex-Japan H2 offers have dropped to $250/mt CFR Vietnam, versus $270-275/mt CFR Vietnam heard last week.    

AnastasiaKononenko
Anastasia Kononenko
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I hold a Bachelor's degree in Journalism and Economics from Oles Honchar National University in Ukraine. I have 15 years of experience in the steel media industry, including the past seven years at SteelOrbis, where I lead the Market Intelligence team responsible for coordinating coverage of Asian steel and raw material markets. My areas of expertise also include global markets for billet, slabs, pig iron and HBI, with a focus on market analysis and industry trends.

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