Author: Paul Ploumis
10 Oct 2014 Last updated at 05:35:05 GMT
TOKYO (Scrap Monster): The ferrous scrap market in East Asia witnessed huge decline. The delivery prices of No HMS scrap imports from Japan and A3 grade scrap from Russia dropped in South Korea. The containerized ferrous scrap for delivery in Taiwan has also declined during the first week of October.
According to reports, Posco purchased HMS grade 2 ferrous scrap from Japan at 34,500 Yens/MT C&F. However, Korean Hyundai Steel purchased No 2 HMS from Japan at 32,300 Yens/MT FOB last week. This led to further negotiation in scrap import prices which then slipped to 32,000-32,300 Yens /MT FOB for delivery in South Korea during first week of this month. According to trade sources, the prices of No 2 HMS may decline further following the anticipated bulk order by Kanto area ferrous scrap dealers.
The negotiated prices of A3 grade scrap from Russia fell heavily during end-September and early-October. The prices which fell to US$365/MT C&F South Korea during the last week of the previous month saw further decline of US$10/MT C&F. However during October first week, the prices reduced further to US$352/MT C&F South Korea.
Meanwhile, the negotiated prices of containerized 80/20 HMS mix scrap imports to Taiwan fell by over more than US$50/MT to touch US$300-301/MT C&F Taiwan.