It is observed that Turkish steel mills have been quiet during the past week in terms of their import scrap purchasing activities, with their demand for import scrap remaining limited. Although it was heard last week that the scrap offers of suppliers in the US and Baltic regions to Turkey were above the price level of $360/mt CFR, no deal at this price level has been concluded in Turkey. Meanwhile, SteelOrbis has been informed that an ex-Europe deal in Turkey for HMS I/II 75:25 scrap has been concluded at $348/mt CFR, while in an ex-Baltic deal the price of HMS I/II 80:20 scrap has remained stable compared to the price level recorded in the previous week.
The import scrap market in Turkey is seen to be moving sideways ahead of the national Victory Day holiday on August 30 and the Feast of Sacrifice holiday (Aug. 31-Sept. 4) and is not expected to indicate any changes in the current week due to these holidays.
On the other hand, market sources state that scrap prices may increase in the US due to Hurricane Harvey which has made its way across Texas, severely impacting Houston. It is believed that demand for steel from buyers in Houston will increase as they seek to replenish their inventories, resulting in an upward movement in raw material prices. Due to the role of Houston in the global supply chain, any delays in its ports and business infrastructure are expected to be felt in the Midwest and on the East Coast.