Expectations for Turkish import scrap market discussed at IREPAS meeting

Tuesday, 01 April 2014 17:09:32 (GMT+3)   |   Istanbul
The Turkish import scrap market has made a quiet start to the new week in terms of buying activity, after the municipal elections which took place on March 30. No new import scrap deal has been heard in the Turkish market this week, while last week a Turkish mill concluded an ex-Europe deal for 22,000 mt of HMS I/II 75:25 at $361/mt CFR, 3,000 mt of HMS I scrap at $384/mt CFR and a mix of 7,000 mt of HMS I and 7,500 mt of bonus grade scrap at the average price level of $398/mt CFR. Also last week, an ex-UK scrap booking was concluded in Turkey at the average price level of $376.5/mt CFR for 20,000 mt of HMS I/II 80:20, 8,000 mt of shredded scrap and 8,000 mt of bonus grade scrap.
 
On the other hand, no ex-US scrap transaction to Turkey has been heard in the past two weeks. Many scrap suppliers and Turkish steel producers have been attending the SteelOrbis 2014 Spring Conference & 70th IREPAS Meeting taking place in Barcelona on March 31-April 1. Sources report from the meeting that US scrap suppliers are not giving scrap offers at the moment and that import scrap deals in Turkey during the week will likely be concluded mostly from continental Europe and in particular the Baltic region.
 
Meanwhile, with shortages in billet availability in Turkey's Iskenderun as one major steel producer has started to conduct maintenance works after a breakdown at one of its furnaces, mills in other regions have hiked their billet prices. Turkish mills are ready to purchase HMS I/II 80:20 scrap from the US at $375-380/mt CFR amid increased semi-finished steel prices and lack of scrap inventory in the local Turkish market.

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