Over the past two weeks, Bangladesh’s imported scrap market has remained largely stable, with a mild downward tendency. Trading activity has been limited and participants have reported little indication of a recovery, with only sporadic deals taking place.
Offers for shredded scrap from the EU have remained at $365/mt CFF, while offers for ex-EU HMS I/II 80:20 scrap have been voiced at $340-345/mt CFR level, down by $5/mt on the lower end of the range. Besides, offers for ex-Australia shredded and HMS I/II 80:20 have been voiced at $365/mt CFR and $345/mt CFR, respectively, mainly the same as two weeks ago.
Furthermore, according to sources, offers for ex-Hong Kong PNS scrap have been voiced at $368/mt CFR, down by $5/mt over the past two weeks, with bids reported at as low as $363/mt CFR. Besides, offers for ex-Argentina PNS scrap have been voiced at $552/mt CFR, according to sources.
In the bulk segment, offers for ex-US HMS scrap have been voiced at around $350/mt CFR, compared to $350-355/mt CFR two weeks ago. Besides, according to sources, it has been heard that last week a deal for ex-US shredded scrap was signed at $350/mt CFR Bangladesh.
According to sources, another bulk cargo for ex-Australia HMS grade scrap is reported to have been booked by a Bangladeshi steelmaker at $340-345/mt CFR Chattogram.
Indicative offers for ex-Japan H2 scrap have remained at $340-345/mt CFR, down by $5/mt over the past two weeks.
Notably, market sources have also indicated that one of the country’s leading steel producers has reportedly been facing raw material shortages following a delay in the arrival of a bulk scrap vessel from the US, which had initially been expected earlier this week.
“Bangladesh’s scrap market is expected to stay muted, held back by sluggish steel demand, tight liquidity, and a slow rebound in construction. Prices should hover around current levels or edge slightly slower unless a revival in regional demand or a shift in freight rates changes the outlook,” a local trader told SteelOrbis.