No import
scrap deal for September shipment had been heard from the
US in the Turkish
scrap market until last week. However, plenty of import
scrap purchases have been concluded in
Turkey in the past week, with most of them from the
US. Ex-
US HMS I/II 80:20
scrap bookings have been concluded at $385-386/mt CFR in the past week. Meanwhile, ex-Baltic deals for HMS I/II 80:20
scrap have been concluded at $385-387/mt CFR, indicating an increase of $1-2/mt as compared to the previous transaction levels. No new import transactions have been heard as of this week.
Market sources report that Turkish steelmakers have completed their
scrap purchases for September deliveries and they are waiting to see whether their increased finished steel prices, which have been revised upwards in line with
scrap prices, will gain acceptance or not. There are still
scrap cargos available in the market, and suppliers will likely try to sell off these cargos in the coming days. In the meantime, having sufficient
scrap inventories, Turkish mills, who are reluctant to conclude new bookings for now, may evaluate offers if the offer prices are attractive enough. This expectation exerts a downward pressure on
scrap suppliers' prices.
If
scrap suppliers agree to sell
scrap for September shipment at lower than the market prices, the trend in the market will likely move downward. However, if suppliers decide to keep their cargos in hand until Turkish mills reduce their stocks, then the market trend will move sideways. In this context, it is possible to say that the long-standing upward movement observed in the Turkish import
scrap market has halted for the moment.