As the monsoon season continues in Vietnam, taking its toll on steel demand and construction activities, interest in scrap has remained on the low side. As finished steel demand in Vietnam is also slow, a significant recovery in scrap demand is not expected in the short term.
Over the past week, offers for Japanese H2 scrap to Vietnam have moved down by another $5/mt to $310-315/mt CFR. Market sources report that buyers’ workable price ideas have remained at around $310s/mt CFR.
Meanwhile, ex-US bulk HMS I/II 80:20 scrap offers to Vietnam are still at around $335-340/mt CFR, while workable levels remain at $335/mt CFR.
The Tokyo Bay FAS-based prices for H2 grade scrap are still at JPY 40,500/mt ($274/mt), up by $2/mt as compared to the levels recorded last week. The FOB-based export price remains at JPY 41,500/mt ($281/mt) for the grade in question, up by $1/mt in US dollars.
The Tokyo Bay HS grade scrap price has moved sideways week on week to JPY 44,000/mt ($297/mt) FAS, while the shindachi scrap price is at JPY 44,500/mt ($301/mt) FAS, up $1/mt and up by $2/mt respectively as compared to July 18.
$1 = JPY 147.80