Although import scrap prices in Turkey have slid in the recent couple of deals, hot rolled coil (HRC) suppliers to the country remain bullish. The key reason is that for HRC the limited allocation coupled with high demand and low stocks are the key drivers of the positive sentiment.
In the local market in Turkey, hot rolled coil (HRC) offers are at $850-870/mt ex-works by the middle of this week, up by around $20-30/mt since early March. Some higher offers have also been heard in the market, but for now buyers do not consider these to be realistic. Sources say that the allocation for June deliveries is very much limited and that some mills have started offering for July, which is the main reason for the solid uptrend. In the export segment, offers are mainly at $835-850/mt FOB depending on the mill, with some discounts possible depending on the buyer, SteelOrbis understands.
In the import segment, ex-CIS mills have remained bullish as expected due to limited allocation. One mill from Russia has voiced $820-830/mt CFR for May production, up from $790/mt CFR last week. Another mill from Russia, according to sources, is aiming to sell at $845-850/mt CFR but for April rolling. In the meantime, some sources report that offers of small coils from Ukraine are at $830/mt CFR for April-May production.