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Tel : 0086-0371-86172891
The shutdown of the rebar rolling A542 Type A steel mill in South Korea will indirectly reduce the demand for crude steel output from the internal electric arc furnace of the Incheon factory. It is understood that the factory is equipped with two electric arc furnaces, one with a capacity of 90 tons and the other with a capacity of 60 tons. Due to the shutdown of the production line, the amount of crude steel used will gradually decrease.
However, the scrap steel A542 Type A steel market has responded relatively steadily. Several South Korean traders have stated that the current local supply of scrap steel remains tight, and some steel mills have already replenished their inventory in advance. The supply and demand in the spot market are still relatively tight.
As of March 26th, the local price of H2 and other similar light A scrap steel in South Korea has remained at 370000 to 375000 Korean won/ton (equivalent to 253-256 US dollars/ton), and the price of heavy A scrap steel has remained stable at 390000 to 400000 Korean won/ton.
In terms of the import market, the spot price of HMS 1/2 80:20 mixed scrap steel in East Asia has slightly increased to $345/ton CFR (based on Tangjin Port in South Korea). Due to the limited supply of scrap steel and the support of steel mills' periodic replenishment, the future price trend is still strong and volatile.
Meanwhile, starting from March 12th, the United States officially imposed a 25% tariff on all imported steel, putting additional pressure on South Korean A542 Type A steel exports. Under the dual pressure of internal and external demand, steel mills are reducing production, stabilizing prices, and optimizing operations, which have become the main theme of this stage.
