Deep sea prices in Turkey have increased to levels very close to the initial expectations shared by SteelOrbis yesterday, November 18.
A Marmara-based mill has booked an ex-Baltic cargo for HMS I/II 80:20 scrap at $329/mt CFR and bonus grade scrap at $339/mt CFR, for December shipment. Prior to this deal, SteelOrbis’ estimation for ex-Baltic prime grade scrap was in the range of $320-330/mt CFR.
Meanwhile, an ex-German scrap deal has been concluded by another Marmara-based mill for HMS I/II 80:20 scrap at $326.5/mt CFR and bonus grade scrap at $336.5/mt CFR, for December shipment. Again, before this deal, ex-EU HMS I/II 80:20 scrap prices were at $318/mt CFR for January shipment.
The import scrap market in Turkey is anticipating a further rise in prices. Turkey’s finished steel export prices are providing support for the scrap market, while the approaching winter months are expected to cause disruptions in scrap collection. On the other hand, some suppliers are still staying out of the market, declining to give offers to Turkey as they state that it is not possible to see a clear picture for scrap collection activities or costs for the coming period. Levels around $330/mt CFR Turkey are expected in Turkey’s scrap market for prime grade scrap cargoes, while some even expect $340/mt CFR Turkey in the next round of purchases. As mentioned yesterday, market players think the general price range for deep sea scrap in Turkey has moved up to $300-350/mt CFR and that, whatever happens in the market, prices will fluctuate in this range in the coming months.
