Demand for ferrous scrap in some Asia markets was higher mid-week because South Korea and Vietnam were actively seeking import cargoes from the United States and Japan.
A major South Korean steel mill booked a 32,000-tonne scrap cargo from the United States on Monday January 7 based on a price of $311 per tonne cfr for heavy melting scrap 1. It paid $316 per tonne, or a $5 per tonne premium, for 29,000 tonnes of shredded scrap and $321 per tonne, or a $10 per tonne premium, for 3,000 tonnes of plate and structural scrap. A South Korean mill was also heard to have bought Japanese H2 at ?32,500 per tonne cfr, or $299 per tonne cfr, shredded scrap at ?34,500 per tonne fob Japan and Shindachi scrap at ?37,500 per tonne fob Japan on Tuesday January 8. Freight rates from Japan to South Korea are presently at $20-25 per tonne. Some traders said the high demand from South Korea was due to low scrap inventory levels there, and that the shift in demand towards bulk imports...