Thailand’s ferrous scrap imports declined to 123,026mt in February, down by 9pc from January on high offers from suppliers. Compared to February 2020, Thai scrap imports improved by 83pc, but last year was marred by slow Chinese steel demand when the economic activities were disrupted due to the COVID-19 pandemic.
Robust steel demand in China has supported prices and improved Thailand’s steel exports in Q1 driving ferrous scrap demand in a predominately EAF-based steelmaking country.
In February, imports from the top scrap supplier, the US, fell to 37,841mt, down by 10pc from January, but up substantiality from 5,302mt exported in February 2019. Healthy domestic demand for scrap in the US lowered scrap import volumes from the country. Exporters raised offers to focus on the domestic market while higher freight, as well as lower margins, made deals unworkable for Thai mills. Mills sought scrap from other origins to refill inventories including exports from Panama, Costa Rica and Trinidad and Tobago.
Exports from Japan dropped to 5,365mt in February, down 37pc from January as Japanese suppliers preferred to export to Taiwan and Vietnam for higher realisations.
| Thailand ferrous scrap imports in February | |||||
|---|---|---|---|---|---|
| Top exporters | Feb-21 | Jan-21 | Change MoM | Feb-20 | Change YoY |
| United States | 37,841 | 42,074 | -10% | 5,302 | 614% |
| Panama | 10,629 | 8,808 | 21% | 6,238 | 70% |
| Philippines | 9,216 | 892 | 933% | 95 | 9558% |
| Costa Rica | 6,735 | 4,754 | 42% | 5,725 | 18% |
| Trinidad And Tobago | 5,718 | 10,958 | -48% | 1,562 | 266% |
| Japan | 5,365 | 8,521 | -37% | 7,867 | -32% |
| Australia | 4,692 | 7,309 | -36% | 4,729 | -1% |
| Cambodia | 4,123 | 3,597 | 15% | 2,308 | 79% |
| South Korea | 4,114 | 6,423 | -36% | 2,006 | 105% |
| Others | 34,594 | 42,565 | -19% | 31,522 | 10% |
| Total | 1,23,026 | 1,35,901 | -9% | 67,354 | 83% |