According to market sources, Russian and Ukrainian A3 grade scrap offers to Turkey have declined by $10-15/mt over the past two weeks to $295-300/mt CFR Nemrut. Meanwhile, the latest Ukrainian 90:10 grade scrap deals in Turkey have been concluded at $299-303/mt CFR Marmara, while a steel producer from the Black Sea region in Turkey has made an ex-Ukraine booking at $304/mt CFR.
Ex-Black Sea scrap prices have been revised downwards in line with the acceleration of the declining trend recorded in deep sea scrap prices. Due to the slack demand for Turkish finished steel from domestic and foreign markets and the decline in import billet offers, Turkish steel producers are in no rush to conclude scrap deals and have been aiming only to meet their immediate needs. However, Turkish steelmakers are waiting for more satisfactory discounts in ex-Black Sea scrap prices before they speed up their purchases. Currently, many import scrap cargos are waiting to be sold in the Turkish domestic market, putting downward pressure on prices. In the coming period, ex-Black Sea scrap offers are expected to be revised again under these circumstances.