Taiwan’s import scrap market has continued its uptrend in the current week amid the ongoing impact of the war in the Middle East. Market sources report that, with Turkey’s deep sea scrap purchase prices increasing sharply this week, they are expected to drive up Taiwan’s import scrap prices in the coming week. Major Taiwanese steel producer Feng Hsin has raised its domestic rebar price by TWD 800/mt over the past two weeks to TWD 17,700/mt ($554/mt) ex-works, with its dollar-based price increasing by $26/mt, taking the exchange rate into account. As Taiwanese mills are experiencing difficulties in securing local and import scrap despite import scrap quotations rising to a 20-month high, they are following a similar pattern in their rebar sales and keeping their sales tonnages limited. A source from a major mill reported that “Chinese billets’ price remained steady at $485-490/mt CFR. Russian billets finally entered Taiwanese market on Tuesday after an absence of almost three months and only sold 25.000 mt at $490/mt CFR.”
Offer prices for ex-US HMS I/II (80:20) scrap in containers to Taiwan have increased over the past week from the range of $340/mt CFR to $345-347/mt CFR, with a very limited number of offers heard. Actual prices in ex-US deals have moved up from $337/mt CFR to $342/mt CFR.
This week, Japanese H1/2 (50:50) offers to Taiwan have disappeared once again. Market sources report that the only offers they received from Japan are for HS grade in the range of $388-393/mt CFR. Last week, HS grade scrap prices were at $380-387/mt CFR, while H1/2 (50:50) scrap offers were at $353/mt CFR.
Feng Hsin has raised its scrap procurement prices by TWD 400/mt over the past two weeks to TWD 10,000/mt ($313/mt) delivered, up by $4/mt on US dollar basis. “As import scrap prices continue to increase, the gap between local and import scrap prices is still large,” a source at a major Taiwanese producer commented.
$1 = TWD 31.96
