Prices in Turkey's scrap market, in which only a few offers have been heard during the past week, continue to decline. With the scrap prices in Turkey having almost declined to the levels of December 2007, very low demand is seen as one of the main reasons causing scrap prices to fall with such rapidity. Even if a glut of supplies is being observed following a calm summer period, Turkish rebar producers, who have been experiencing difficult days in rebar sales, are trying to delay their scrap purchases as long as possible.
In the last week, the price level of HMS I/II 70:30 scrap cargoes concluded by a Turkish mill from three different European suppliers was at $300/mt FOB. The price of ex-Europe HMS I/II 70:30 scrap declined to the abovementioned level from the level of $395/mt CFR Turkish ports in the previous week.
Looking at the ex-US side, a Turkish mill last week concluded an ex-US scrap booking for HMS I/II 80:20 at $360/mt CFR.
It is heard that a couple of Turkish mills are in the market this week for scrap purchases; however, it is also heard that they will likely push for lower price levels compared to the abovementioned prices.