US ferrous scrap export price outlook murky

Bulk and containerized ferrous scrap export prices on the United States' West Coast moved in different directions this past week, further clouding the direction of prices. But a lack of bulk activity on the US East Coast did not prevent export yard buying prices from rising amid healthy demand.

Activity picked up on the West Coast over the past week, with two bulk cargoes confirmed to have been sold from two exporters to a Chinese electric-arc furnace steelmaker at $395 per tonne cfr for an 80:20 mix of No. 1 and No. 2 heavy melting scrap and $406 per tonne cfr for a mix of No. 1 heavy melting scrap and shredded scrap. Sources said some US exporters are seeking as much as $430-440 per tonne cfr for bulk cargoes offered from the West Coast to Asia right now, but this price range is far beyond what Asian mills are currently willing to pay. “Bulk [scrap export deals] on the West Coast [have] stalled out a little after these cargoes were sold to China,” a US broker source said. “I think offers to Asia would probably settle around $410-420. [A price of] $440 is a little unrealistic right now...

Published

Mei Ling Toh

March 21, 2018

21:43 GMT

New York