Posted on 06 May 2022
The Vietnamese scrap import market continues to weaken, Kallanish notes, with buyers standing on the sidelines.
Offers for Hong Kong HMS 1&2 50:50 are currently at a negotiable $550/tonne cfr southern Vietnam, down $10 from last week. Bulk US HMS 1/2 80:20 scrap is heard offered at around $545/t cfr, compared to $600/t cfr last week.
“Japan is on holiday. I don’t hear any offers for H2 but I think it should be at around $550/t cfr,” a Vietnamese trader said on Thursday. Japanese H2 scrap was offered at $585/t cfr last week. While the Japanese domestic scrap market has not moved much, he thinks that Japanese export prices must be lowered in order to match the current international trend.
Buyers of H2 are waiting to observe the approaching Japanese Kanto scrap export tender, which will take place next week, a Vietnamese mill source says. “We are hoping for some market improvement after the holiday, but it is still weak,” he says. Domestic rebar prices have fallen by the equivalent of about $5-10/t since last week, he adds.
“Scrap prices are falling, demand is weak,” another local scrap trader says. Containerised 80:20 scrap and plate & structural grade scrap from the US are tagged at $490/t cfr and $510/t cfr respectively. “There is no buying, though,” he says. Containerised P&S scrap from Poland was offered at $550/t cfr last week (Kallanish passim).
Source:Kallanish
