Statistics sourced from China Custom show that during the second month of 2011, the imported scrap volume dives to 249,000 tonnes from January 459,000 tonnes cut by 210,000 tonnes down by 45.7%MoM. This figure shrinks by 46% compared with the 465,000 tonnes achieved at the same period of last year.

Entering January demand is activated by Chinese mills winter stocking, which stirs up scrap price to hike in domestic market. However, transaction is declining in imported market given that the swelling price meeting with the 17% full amount value-added tax urges importers reluctant to purchase. Importers mostly ride on fence and slump the imported scrap volume. But a favorable turn appeared in later February as global scrap price sliding during Spring Festival Holidays brings some increment on import volume.

The arrivals are expected to increase by 350,000 tonnes to 400,000 tonnes in March.

(Sourced from MySteel.net)
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