Today, October 14, an ex-EU scrap deal concluded at the start of the week has been disclosed to the market, with the prime grade scrap prices in the deal being on the high end of the SteelOrbis’ daily price range.
Accordingly, a European supplier concluded a sale to a Marmara-based mill on Monday, October 12, for HMS I/II 80:20 scrap at $280/mt CFR, shredded scrap at $285/mt CFR and bonus grade scrap at $290/mt CFR. Although most market players believe that this booking was actually concluded, it has not been officially confirmed by the buyer or the seller at the time of publication. Prior to this deal, SteelOrbis’ daily prices were in the range of $277-280/mt CFR Turkey for ex-EU HMS I/II 80:20 scrap.
As SteelOrbis mentioned earlier today, some market intermediaries believe that $280/mt CFR is now considered to be the bottom level for European scrap. Some rebar export sales have been disclosed to the market by Turkish mills this week, which have supported this sentiment. However, demand in the local Turkish rebar market is still weak, according to sources. While some players state that the downtrend in the import scrap segment has come to an end, they also mention that there is no fundamental change in the market to support a sharp rise in quotations. Some think that Turkish mills may prioritize short sea bookings in the coming period, though short sea scrap suppliers are also unwilling to cut quotations as they cite high collection costs.