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Argus’ comprehensive coverage of the global ferrous markets provide independent price assessments, news and market analysis for iron ore, coking coal, ferrous scrap, pig iron and steel.
Our global team of experts in China, Singapore, the UK and US deliver over 300 domestic and seaborne price assessments along with detailed market commentary on a daily basis to ensure our clients have complete mine to mill price coverage.
The ferrous portfolio includes established Argus price indices for 62pc and 65pc iron ore fines, Turkish ferrous scrap imports, and our fob Australia and cfr China premium hard coking coal indices.
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G7 countries put timeframe on 'unabated' coal phase-out
G7 countries put timeframe on 'unabated' coal phase-out
London, 30 April (Argus) — G7 countries today committed to phasing out "unabated coal power generation" by 2035 — putting a timeframe on a coal phase-out for the first time. The communique, from a meeting of G7 climate, energy and environment ministers in Turin, northern Italy, represents "an historic agreement" on coal, Canadian environment minister Steven Guilbeault said. Although most G7 nations have set a deadline for phasing out coal-fired power, the agreement marks a step forward for Japan in particular, which had previously not made the commitment, and is a "milestone moment", senior policy advisor at think-tank E3G Katrine Petersen said. The G7 countries are Italy — this year's host — Canada, France, Germany, Japan, the UK and the US. The EU is a non-enumerated member. But the pledge contains a caveat in its reference to "unabated" coal-fired power — suggesting that abatement technologies such as carbon capture and storage could justify its use, while some of the wording around a deadline is less clear. The communique sets a timeframe of "the first half of [the] 2030s or in a timeline consistent with keeping a limit of 1.5°C temperature rise within reach, in line with countries' net-zero pathways". OECD countries should end coal use by 2030 and the rest of the world by 2040, in order to align with the global warming limit of 1.5°C above pre-industrial levels set out in the Paris Agreement, according to research institute Climate Analytics. The countries welcomed the outcomes of the UN Cop 28 climate summit , pledging to "accelerate the phase out of unabated fossil fuels so as to achieve net zero in energy systems by 2050". It backed the Cop 28 goal to triple renewable energy capacity by 2030 and added support for a global target for energy storage in the power sector of 1.5TW by 2030. The group committed to submit climate plans — known as nationally determined contributions (NDCs) — with "the highest possible ambition" from late this year or in early 2025. And it also called on the IEA to "provide recommendations" next year on how to implement a transition away from fossil fuels. The G7 also reiterated its commitment to a "fully or predominantly decarbonised power sector by 2035" — first made in May 2022 and highlighted roles for carbon management, carbon markets, hydrogen and biofuels. Simon Stiell, head of UN climate body the UNFCCC, urged the G7 and G20 countries to lead on climate action, in a recent speech . The group noted in today's outcome that "further actions from all countries, especially major economies, are required". The communique broadly reaffirmed existing positions on climate finance, although any concrete steps are not likely to be taken ahead of Cop 29 in November. The group underlined its pledge to end "inefficient fossil fuel subsidies" by 2025 or earlier, but added a new promise to "promote a common definition" of the term, which is likely to increase countries' accountability. The group will report on its progress towards ending those subsidies next year, it added. Fostering energy security The communique placed a strong focus on the need for "diverse, resilient, and responsible energy technology supply chains, including manufacturing and critical minerals". It noted the important of "guarding against possible weaponisation of economic dependencies on critical minerals and critical raw materials" — many of which are mined and processed outside the G7 group. Energy security held sway on the group's take on natural gas. It reiterated its stance that gas investments "can be appropriate… if implemented in a manner consistent with our climate objectives" and noted that increased LNG deliveries could play a key role. By Georgia Gratton Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Higher C919 adoption to boost China's Ti demand
Higher C919 adoption to boost China's Ti demand
Beijing, 30 April (Argus) — Higher adoption of the C919 airliner, China's first self-developed single-aisle passenger jet, is likely to boost demand for titanium mill products in the coming years, according to market participants. China Southern Airlines, one of the country's top three airlines, ordered 100 C919 aircraft from its manufacturer Commercial Aircraft Corporation of China (Comac) yesterday. These aircraft will be delivered in 2024-2031. China's flag carrier Air China on 26 April also announced that it will purchase 100 C919 aircraft from Comac during the same period. Another major airline, China Eastern Airlines, in September 2023 placed an order for 100 C919 aircraft from Comac, which delivered the fifth unit this March. This means all three top China airlines have invested in 100 aircraft deals for C919. Market participants estimate a single C919 aircraft contains 3.92t of titanium mill products. Demand for titanium mill products from a single C919 aircraft will reach 49t based on an overall yield rate of 8pc for mill products used in aviation parts. Titanium mill products typically include titanium strip, rod, section bar, wire, plate, sheet, tap and foil. Comac launched the C919 development programme in 2008 and began prototype production in 2011. The airliner had its maiden flight in 2017 and received its airworthiness certification from Chinese authorities in September 2022. A continued increase in orders and deliveries of the C919 airliner is likely to continue to boost demand for titanium mill products in the coming years. Comac has received over 1,400 orders for C919 from domestic and international airlines so far. China's 32 major manufacturers produced 159,000t of titanium mill products in 2023, up by 5.3pc from 151,000t in 2022, according to statistics from China nonferrous metals industry association titanium zirconium and hafnium branch (CNIA-TI). Aerospace, the second-largest consumption industry for titanium mill products, consumed 29,377t of titanium mill products in 2023, accounting for 19.8pc of China's total domestic production. "Demand from the aerospace industry has large potential in China," a source at a Baoji-based mill products manufacturer told Argus . "Only 20pc of titanium mill products is used in China's aerospace industry now, while the proportion is as high as 70-80pc in Europe and the US." A number of titanium mill products manufacturers in Baoji, which is known as China's "titanium valley", have begun to supply Comac as they have improved their product quality to meet Comac's criterion. Comac designated the country's largest producer Baoji Titanium (BaoTi) as the sole supplier of titanium mill products for the airliner just last year. Argus -assessed prices for titanium ingot, the main feedstock in the production of mill products, held stable from 23 April at 60,000-62,000 yuan/t ex-works for TA2 grade today, in response to firm titanium sponge feedstock costs and steady demand from mill products manufacturers. Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Taiwan's scrap imports fall in March as demand slows
Taiwan's scrap imports fall in March as demand slows
Singapore, 30 April (Argus) — Taiwan's ferrous scrap imports fell on a year-on-year basis in March, as a slight rise in spot prices in January combined with slow domestic steel demand to discourage purchases. Taiwanese steel demand has weakened since the beginning of the year, market participants said. "Market fundamentals in 2023 were still okay, but slowed down in January as scrap buyers were unsure about the market post-Chinese new year," a trader said. Marginally higher spot scrap prices in January also suppressed buying appetite. The spot price for HMS 1/2 80:20 containerised scrap from the US west coast was as high as $380t/t on 17 January and was assessed at $375/t cfr by the end of that month. The higher spot prices encouraged steel mills and scrap buyers to take a wait-and-see approach. Loadings and delivery of containerised scrap bookings are usually made 8-10 weeks after an agreement is signed. Import volumes for the second quarter of 2024 are expected at steady-to-lower levels on seasonal weakness, market participants said. Production is likely to fall in the upcoming summer season because of electricity restrictions set by local authorities. A rise in electricity rates in April will also cap any upside in imported scrap prices and volumes, as mills are likely to reduce output by 20-40pc to curb their electricity use. Taiwan ferrous scrap imports t Country Mar % ± vs Feb % ± vs Mar'23 Jan-Mar % ± y-o-y US 121,298 49.29% 12.2% 323,030 5.74% Japan 44,316 -20.17% -56.7% 161,710 -23.04% Australia 15,942 60.69% -58.8% 37,850 -45.67% Dominican Republic 14,920 -15.05% 0.4% 48,878 -0.81% Others 76,671 40.31% 29.1% 198,780 25.86% Total 273,148 24.79% -15.6% 770,249 -2.81% Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Japan's ferrous scrap exports slip in March
Japan's ferrous scrap exports slip in March
Shanghai, 29 April (Argus) — Japan's ferrous scrap exports declined sharply in March as import demand from Vietnam diminished, while the South Korean market remained bearish. Total exports in March retreated by 17pc on the month and by 10pc from the previous year, reaching 516,000t, according to Japan's customs data. Total exports dropped by 4.6pc on the year to 1.6mn t in the first quarter. Japanese scrap exporters encountered challenges because of declining overseas demand since March, as buyers became more cautious in the face of weaker-than-expected downstream demand recovery. Scrap exports will likely remain subdued in the coming months, according to trade sources. Vietnamese buyers were active in the seaborne market at the beginning of the year, but rising inventory levels and uncertainties in the steel sector outlook led them to step back after February. Exports to Vietnam in March dropped by 21pc on the month. The South Korean market is not expected to rise significantly in the near term as domestic scrap prices continued to fall, dropping by $50-60/t over the past three months. "South Korean buyers only fulfilled long-term contracts and stayed away from the spot market," a Japanese trader said. Exports to South Korea plummeted by 38pc to 470,000t in the first quarter. Exports to Taiwan dropped significantly by 41pc from the previous month as buyers were more focused on purchases of containerised scrap. Exports to Malaysia remained steady above 30,000t in March, while exports to the Philippines decreased from 34,000t in February to 13,000t. But a depreciation of the Japanese yen allowed exporters to offer relatively more competitive prices compared to other suppliers, with buyers price sensitive given a sluggish steel market. The yen started to weaken in March, reaching above ¥155:$1 at the end of April from $146.8:$1 in mid-March. Japan ferrous scrap exports (t) Country March % ± vs Feb % ± vs Mar '23 Jan-Mar % ± on year Vietnam 210,014 -20.7 20.7 683,821 48.0 South Korea 156,851 -9.8 -32.2 469,644 -38.1 Bangladesh 43,755 13.8 N/A 91,205 79.0 Taiwan 35,329 -40.8 -62.8 140,755 -28.8 Others 70,023 -20.6 -7.2 213,587 3.0 Total 515,971 -17.4 -10.4 1,599,011 -4.6 Source: Japan customs Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
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