While an ex-Belgium deal has indicated a slight price increase for HMS I/II 80:20 scrap in Turkey, a couple of relatively older deals have also been disclosed to the market today, May 6.
SteelOrbis has learned that an Iskenderun-based Turkish mill has concluded a deal from Belgium for a cargo consisting of 25,000 mt of HMS I/II 80:20 scrap and 5,000 mt of a mixture of P&S and HMS I scrap at the average level of $466/mt CFR. The cargo will be shipped in the second half of June. This signals $465/mt CFR for benchmark HMS I/II 80:20 scrap, market players state. Prior to this deal, an ex-Germany transaction was closed at $463/mt CFR for the benchmark grade.
Meanwhile, an ex-Rotterdam booking by another Iskenderun-based steel mill was disclosed to the market today, though SteelOrbis has learned that deal was closed early this week. The cargo in question consists of HMS I/II 80:20 scrap at $446/mt CFR and bonus grade scrap at $461/mt CFR, for late May shipment.
Also, there is a rumor for another relatively older deal for a Netherlands origin cargo sold to Turkey’s Izmir region with HMS I/II 80:20 scrap standing at $451/mt CFR and shredded scrap at $463/mt CFR.
One of the major European scrap suppliers has stated that it is currently clear that prices are on a rising trend, adding that they believe prime grade prices may test levels above $500/mt CFR Turkey in the coming period. Also, the gap between bonus-shredded scrap and the HMS I/II 80:20 scrap grades is widening, the source stated, adding, “It may widen more than the $10/mt observed lately”. Meanwhile, in the meeting held by the Turkey's Foreing Steel Trade Association today, attendees discussed Venezuela, which is considered to be a new source providing a good grade of scrap to Turkey, adding that Turkey has bought eight cargoes from Venezuela over the past month, totaling 200,000 mt of scrap.
