Korea Iron and Steel Association (KOSA) presented South Korean ferrous scrap supply and demand balance toward 2020. The scrap demand would reach 34.609 million tonnes in 2020 when the electric furnace steel making capacity increases 35.6 million tonnes from 31.817 million tonnes in 2010.
KOSA expects South Korean domestic scrap supply increases to 33.107 million tonnes in 2020. The obsolete scrap supply increases to 19.09 million tonnes in 2020 from 12.453 million tonnes in 2010 and 7.398 million tonnes in 2000. KOSA expects gradual decrease for the scrap import when the local scrap supply could cover more than 90% of the demand in 2020 KOSA warns without modernization of scrap processing, the higher obsolete scrap could result in lower scrap grade. KOSA studies certification system for the dealers depending on the scale for the modernization. KOSA eyes separated roles including major processors with eligible right for shipment to steel makers.
