SHANGHAI Chinese steel mills and traders are reluctant to book overseas scrap cargoes as prices have jumped.
"Suppliers may have expected that China would import more scrap for Chinese New Year restocking, but we have slowed the pace," a Shagang Group source said.
Shagang bought a bulk U.S. shredded cargo for $430 per tonne c.f.r. China last week, sending AMMs West Coast Ferrous Scrap Export Index for an 80/20 mix of No. 1 and No. 2 heavy melt up 3.1 percent (amm.com, Jan. 14).
Bulk offers for U.S. HMS 1&2 (80:20) have since risen, although Shagang cut its bid to about $420 c.f.r., the source told AMM sister publication Steel First.
A version of this article was first published by AMM sister publication Steel First.