Following a new ex-Canada deal, the deep sea prime grade scrap prices for Turkey have moved down today, April 9.
SteelOrbis has been informed that an Iskenderun-based Turkish mill concluded a deal from Canada late yesterday, April 8, for a cargo consisting of 35,000 mt of HMS I/II 95:5 scrap and 15,000 mt of shredded scrap at the average level of $436/mt CFR Turkey. According to market sources, the HMS I/II 80:20 scrap price is equal to $431/mt CFR. Prior to this deal, SteelOrbis’ daily prices for ex-US HMS I/II 80:20 scrap were in the range of $433-436/mt CFR.
Market sources state that the reason for the lower price level is the number of active sellers in the market who are seeking to conclude sales to Turkey. This situation is exerting pressure on prices, as Turkish mills have concluded several transactions in the current week and are now somewhat more comfortable as regards purchases for May shipments. SteelOrbis believes that Turkey needs approximately fifteen more cargoes from the deep sea segment for May shipment. It is observed that the steel market in Turkey is witnessing an unprecedented situation since the price difference between local rebar and hot rolled coil (HRC) has been increasing and has lately hit around $350/mt on average.
