Ferrous scrap prices for the export market on the US West Coast (USWC) remain flat for another week as Asian import markets have recently provided relative stability. Some of those Asian markets have improved their import prices, but do not seem to be particularly bullish. Bulk prices to the USWC docks dropped last week after a few months of speculation, and given the slowness with which that market changes, another move is not expected soon.
As such, the price of the price of HMS I remained unchanged at $230-240/gt delivered Los Angeles export yard, while P&S 5ft stayed at $260/gt delivered, and shredder feed prices at $170-180/gt delivered. In the San Francisco Bay area, the price of HMS I was sideways at $240/gt delivered export yard, P&S 5ft at $250/gt delivered, and shredder at $180/gt delivered.
As mentioned before, Asian scrap import marketes have been slightly divergent but stable. As reported by SteelOrbis last week, Taiwanese import prices improved based on higher billet an rebar prices, with the price of US-origin HMS I/II 80:20 rose by $4/mt in recent deals to $330/mt CFR (offer levels from USWC also increased by $2/mt). USWC offers for the same grade to Bangladesh rose by $10/mt last week $380-385/mt CFR Chattogram while the country's general import market is reported as cautious as mills try to suppress prices due to a sluggish local rebar market.
In Houston, prices of scrap to the docks were also unchanged but contacts in the region believe prices could go up soon as the export market to Turkey is looking more bullish. The price of US-origin HMS I/II 80:20 increased by around $6.5/mt in the past week to $380-383/mt CFR Turkey after a couple of deals from the US last week and one from Scandinavia recently. Sources report that US East Coast (USEC) exporters are waiting for bids and limiting their offers, and point to higher crude oil prices as potentially increasing freight rates soon. Additionally, they point to higher domestic Turkish finished steel prices as a source for more strength in import prices. Houston exporters usually ship their material to Turkey and Mexico.
At the Houston docks, HMS I prices stayed at $325-335/gt delivered export yard, P&S 5ft at $340-350/gt delivered, and shredder feed at $325-335/gt delivered.
Prices in the Pacific Northwest (PNW) are also unchanged for another week with HMS I at $285/gt delivered Portland-Tacoma export yard, P&S 5ft at $295/gt delivered, and shredder feed at $220-230/gt delivered. Sources in the PNW indicate they expect these levels to remain unchanged for the rest of September.
Containerized
The prices of prepared scrap for the export market were also unchanged for the general market but started to show bullishness for material of a higher quality. The price of containerized HMS I/II 80:20 is still reported at $315/mt FAS Long Beach port, but some are seeing it as low as $305/mt FAS while sales of high quality material have been reported as high as $323/mt FAS. The price of containerized P&S 5ft remains at $330/mt FAS, and shredded at $335/mt FAS.
