The fact that Turkish steel mills' demand for scrap has not indicated any revival in the past week has attracted the attention of market observers, while Turkish producers do not appear to be in any rush to conclude new scrap deals, though they are continuing to make price inquiries. Having experienced slack rebar export sales, Turkish steelmakers are postponing their scrap purchases given the slower trading activity due to Ramadan as well as domestic buyers postponing their rebar purchases due to the ongoing uncertainty regarding the margin of Turkey's planned reduction in rebar import duty. Meanwhile, no significant change has been seen in import scrap prices in Turkey. In the latest import scrap deal heard by SteelOrbis, HMS I/II 75:25 scrap prices were at $268/mt CFR, almost at the same level as in the previous transactions.
In the US, scrap supply remains tight, while demand is still at high levels. It is observed that the US-based suppliers are testing the Turkish market with higher offers, with HMS I/II 80:20 scrap at $277-280/mt CFR. But SteelOrbis has been informed that Turkish mills' firm bids have yet not exceeded the price levels of $271-272/mt CFR amid the declines seen in both domestic and export rebar quotations as well as the ongoing uncertainty regarding the result of the Section 232 investigation which has nearly caused Turkish steel mills' finished steel sales to the US to come to a halt.