SteelOrbis has been informed that Russian and Romanian A3 grade
scrap offers from Black Sea ports to Turkey have declined by $5-10/mt compared to last week to $245/mt CFR. Russian A3 grade
scrap deals in Turkey concluded at the end of last week were at $245/mt CFR Nemrut, while market sources state that some steel producers in Turkey's Marmara region have this week concluded ex-
Russia deals for A3 grade
scrap at $245/mt CFR Marmara. Additionally, the latest ex-
Romania deals in Turkey for the same product have been concluded at $245/mt CFR Marmara.
In the first two weeks of March, Turkish producers'
scrap stocks reached sufficient levels on the back of deals concluded particularly from the Baltic region and from Europe in general. This caused
scrap demand to slow down, which resulted in a slight softening of deep sea
scrap prices in successive deals concluded towards the end of last week. As prices softened, Turkish producers put pressure on ex-Black Sea
scrap suppliers and successfully caused them to reduce their offers. With the weather getting warmer in the
CIS region,
scrap flow to yards is expected to accelerate, while Turkish producers will probably push for further declines in
scrap prices as the supply volume increases.
The downward pressure on deep sea and ex-Black Sea
scrap offers will certainly increase amid the recent sharp fall in the price of 62 percent Fe content iron ore to $54.5/mt for delivery to the Chinese port of Qingdao.