Turkish steelmakers have accelerated their
scrap bookings for June shipments after prices settled at $370-375/mt CFR
Turkey for HMS I/II 80:20
scrap in the past week. Most import deals in
Turkey have been concluded from the Baltic region and the
US, with transaction levels remaining unchanged over the past week.
In the meantime, a major
Ukraine-based
billet supplier has been carrying out overhaul work and
billet supply in the region has contracted, resulting in a lower Ukrainian origin
billet supply volume for
Turkey. In addition, the strong political tensions in
Ukraine are also a reason why Turkish buyers are hesitating to conclude import
billet deals from the country. These declines in import
billet activity in
Turkey have resulted in increased
scrap demand among Turkish steelmakers in the past two weeks. Meanwhile, it is reported that Turkish mills have almost completed their import
scrap bookings for June shipment.
On the other hand, Turkish producers are targeting lower prices in their
scrap purchases for July shipments since there have been no positive developments in
Turkey's local and export finished steel markets. Accordingly, the Turkish mills are expected to negotiate on prices with
scrap suppliers for new purchases in the coming period.
Meanwhile, A3
scrap offers from the Black Sea region to
Turkey are at $350-360/mt CFR, indicating no changes since last week. However, some delays have been observed in shipments amid shortages of ship availability in the region at the moment.