China Custom Clears Steel Scrap for BaoSteel
According to media reports, the first cargo of steel scrap bought after China reopened its doors to ferrous scrap imports on January 1 has been cleared by Chinese customs authorities at Shanghai port. The Tong Mao 1, the vessel that transported the 3,000 tonnes shipment of HRS101 grade scrap, arrived at Shanghai port Jan. 23 from Kawasaki port in Japan. On January 1, 2021, China Baowu’s Ouyeel Blockchain Finance and Metal Recycling Resources Co and Mitsui & Co signed a contract to import recycling steel materials. After reviewing various contract terms, the two parties formally signed a contract, agreeing to purchase 3,000 tonnes of Japanese heavy recycling steel materials from Mitsui & Co and ship to Shanghai Port for the production needs of Baosteel.
Several other Chinese buyers have bought material from Japan, and shipments are expected to reach Chinese shores in February-March. Recycling firm Zhejiang Judong bought 2,800 tonnes of HS from Heiwa Shoji on 1 January. The cargo is expected to arrive in China in early February. China's domestic scrap price setter, Shagang in Jiangsu, bought 3,000 tonnes from Japanese supplier Hanwa, with shipment scheduled for second-half February. Hanwa also sold 2,000t of heavy recycling steel material to Chinese state owned Ansteel in Liaoning, northeast China. This cargo is scheduled to arrive in Bayuquan port in Liaoning in early March.
Source - Strategic Research Institute