SteelOrbis has learned from market sources that Russian offers to Turkey for A3 grade scrap have decreased by $5/mt over the past week to $230/mt CFR. Meanwhile, Romanian scrap suppliers’ prices to Turkey for the same grade scrap are still at $235-240/mt CFR, while Turkish buyers’ firm bids are at $230/mt CFR. However, Romanian suppliers state that they cannot accept these firm bids due to high scrap collection costs and so they are having difficulties in making sales to the Turkish market. On the other hand, a Turkish producer in the Aegean region has concluded an ex-Ukraine scrap deal at $227/mt CFR this week.
Market players state that disruptions in scrap shipments still exist since the Don River is at a low ebb and they are having difficulties in finding ships. Also, scrap collection costs have increased since the euro is losing strength against the US dollar. Although Russian scrap suppliers have reduced their prices slightly, no deals have been concluded yet and Turkish buyers are seeking to conclude bookings at much lower prices. However, Russian scrap suppliers state that it is impossible for them to decrease their prices further in the current market conditions.