According to reports from market sources, Turkish steelmakers have been focusing on ex-deep sea
scrap purchases in the past two weeks. Ex-Black Sea A3
scrap offers are considered to be on the high side, while the decline by as much as $20/mt in ex-deep sea HMS I/II 80:20
scrap offers in the past two weeks has also caused Turkish mills to accelerate their
scrap bookings from the
US and
Europe.
Scrap collection prices in
Romania are standing at $315-320/mt at the moment. The latest ex-
Romania scrap deal in
Turkey has been concluded at $337-339/mt CFR, though suppliers in the Black Sea region indicate that transaction prices should be around at $340-345/mt CFR in order to maintain healthy profit margins.
Black Sea A3
scrap offers for
Turkey can still be found at $340-345/mt, indicating no changes since last week. Higher freight costs and the low flow of
scrap in
scrap yards help suppliers to keep their
scrap offers at high levels. However, this situation impacts demand levels in
Turkey negatively, as Black Sea
scrap offers are found to be unattractive.