Import scrap prices in Taiwan have followed diverse trends this week. While the number of offers both from Japan and the US is on the low side, ex-US scrap prices have remained relatively stable , while ex-Japan scrap prices have declined. Taiwan has concluded some ex-Japan scrap deals after a long silence for this origin. Market sources report that the weakness of the Chinese steel and billet markets is impacting confidence among all buyers. Most deals done in the local Taiwanese rebar market were concluded two weeks ago and this week the market has been silent ahead of the Dragon Boat Festival holiday. The leading Taiwanese producer Feng Hsin has kept its domestic rebar prices stable during the past week at TWD 16,800/mt ($562/mt) ex-works, with its dollar-based price up by $2/mt taking the exchange rate into account.
Market sources report that the number of offers for ex-US HMS I/II (80:20) scrap in containers to Taiwan has declined once again this week, while prices have remained relatively stable at $302/mt CFR. Last week’s offers were in the range of $299-305/mt CFR. However, actual deal prices have moved up by $4-7/mt from the $295-298/mt CFR range to $302-303/mt CFR.
Japanese H1/2 (50:50) scrap bulk cargoes have been offered at $323/mt CFR Taiwan as compared to last week’s $326-328/mt CFR. Having been absent from the Japanese market since early April, Taiwanese producers bought their first cargoes from Japan in the range of $318-321/mt CFR.
Along with the current week’s additional price increase observed in import scrap deals, Feng Hsin has increased its scrap purchase prices by TWD 200/mt to TWD 9,200/mt ($308/mt) delivered, up by $8/mt on US dollar basis.
