After a flurry of ex-US scrap bookings to Turkey last month, activity has once again fallen quiet. The last bookings for cargos of heavy melting scrap I/II (80:20 blend) and shredded scrap were transacted in the middle part of February at $351/mt CFR each, although these prices could soon change. SteelOrbis sources have said that scrap dealers pulled back offers in the beginning of March, noting that revised, upward pricing levels would soon be available. At that point, US domestic scrap prices had not yet settled for the month, and it’s believed that export yards wanted to wait and see how things panned out domestically prior to making new offers. This week, however, ex-Midwest scrap prices have settled down $15-$20/lt, which may make a push for higher-priced ex-US scrap bookings to Turkey difficult to obtain.
Meanwhile, US West Coast scrap exporters say that export yards finally “called bottom” in terms of CFR offer prices to Taiwan. As of mid-last month, container prices for heavy melting scrap I/II (80:20 blend) are now being offered in the approximate range of $335-$340/mt CFR, although Taiwanese mills were pushing hard to get deals approximately $5/mt CFR below that range. Prices, however, have increased by $5/mt CFR since our last report two weeks ago, according to dealer sources, who’ve said that thinned inventories have played a large part in higher pricing.