Earlier this week, it was observed that the sideways movement of Turkey’s import scrap market has continued in general since the beginning of August, despite the very small price fluctuations seen from deal to deal. Turkish mills’ weaker appetite for import scrap since the beginning of 2025 is now expected to change with import billet offers becoming less attractive with long delivery terms.
Turkey’s scrap markets, both import and domestic, are largely range-bound. The limited movements observed in the local scrap market are the result of the depreciating Turkish lira more than anything else, as Turkish mills try to secure scrap. In the import segment, scrap prices have hit a firm bottom despite the summer season and holidays in the EU. With the euro-dollar exchange rate standing at 1.165 again, the costs of European scrap suppliers have once again moved up. European scrap exporters’ collection prices are still in the range of €255-260/mt DAP, but market sources report that sea freight is once again recovering.
At the end of the week, more deals surfaced and were shared in the market, and also indicated that prices are firm. An ex-Netherlands booking is reported to have been done by an Iskenderun-based producer on Wednesday, August 6, with HMS I/II 80:20 scrap standing at $340/mt CFR. This price is in the range of SteelOrbis’ ex-UK/EU reference prices at $340-342.5/mt CFR. It is also known that another ex-EU scrap seller is seeking prices at around $342.5/mt CFR for a cargo. In this context, SteelOrbis has not changed its reference price for this grade. The only change this week was recorded by ex-US suppliers, increasing the upper end of the price by $1/mt.
Under the current conditions, the deep sea benchmark HMS I/II 80:20 scrap prices in CFR terms have moved up by 0.15 percent week on week. The prices are now 0.07 percent lower month on month in the deep sea segment, with quotations being in the range of $340-347/mt CFR.
US scrap pricing for August delivery have settled sideways for a third straight month following a July 31 decision by US President Trump to reverse a decision to implement 50 percent tariffs on Brazilian pig iron used in US steel production effective August 1. Prior to Trump’s reversal on pig iron tariffs, market insiders said August scrap prices could potentially settle strong sideways to higher as more US steel producers would need to buy more August scrap as a replacement.
“DJJ [Nucor’s raw material supplier David J. Joseph Co.] did bid up the market on HMS on the river, but it’s posting sideways,” commented one steel scrap insider to SteelOrbis at August settlement, adding, “They’re playing their usual games, and they were also short on their cuts buy this month.”
SteelOrbis’ scrap data shows US scrap prices have remained unchanged since the June buy-cycle, following a $30-40/gt ($30-41/mt) decline in May scrap prices.
The local Italian scrap market has remained largely silent this week, with only a few mills reducing their scrap purchase prices by €5/mt. The price cuts, however, only involved small volumes, and they did not affect the overall market levels, which have remained unchanged for over a month.
The situation in the local Spanish scrap market is similar to the Italian market, with most market players on holiday, few volumes traded and many discussions about operational issues.
In the local German scrap market, rumors among market participants are already mentioning possible drops in mills’ scrap purchase prices by about €10/mt. The overall sentiment remains one of wait and see, with most players hoping for the end of summer to bring some revival to the market.
Market talk in Poland has been focusing on current discussions about a possible ban on scrap exports from the country. “The [Polish] government has been talking about this for three years now, but there are no official decisions about it”, a representative of a Polish mill stated. For the moment, local scrap prices in Poland have remained more or less stable compared to the latest levels recorded, and collection prices for HMS I at export yards have been reported at €255-260/mt, unchanged week on week.
Japan’s Kanto scrap export tender was closed with a price increase on August 8 on Japanese yen basis, though the dollar-based price moved sideways.
In the Kanto export tender, the highest bid was at JPY 41,888 /mt FAS, JPY 172/mt higher than last month. The total tonnage of the cargo was 20,000 mt and it is believed to have been bought by a Vietnamese mill. The dollar-based price has remained at $284/mt FAS, taking into account the changes in the Japanese yen-US dollar exchange rate.
Import scrap prices in Taiwan have moved up this week, with Japanese scrap maintaining its attractiveness against ex-US scrap cargoes. While the rise in the import scrap segment has also pulled up local scrap quotations, the increase in the domestic market over the past weeks has now exceeded those recorded on the import side.
Market sources report that the number of offers of ex-US HMS I/II (80:20) scrap in containers shared with Taiwanese buyers is still low. The offer prices have moved up by $7/mt to $306-307/mt CFR. Offered prices for Japanese H1/2 (50:50) scrap bulk cargoes have moved up over the past week from the range of $309-316/mt CFR to $310-318/mt CFR.
Vietnam’s import scrap market has moved sideways in the current week, with some interest shown in Russian scrap. The lack of sustainable steel demand leads to slower trading in the market, and buyers are trying to exert pressure on prices.
Over the past week, offers for Japanese H2 scrap to Vietnam have remained stable in the range of $310-315/mt CFR. Meanwhile, ex-US bulk HMS I/II 80:20 scrap offers to Vietnam have moved up by another $5/mt on the upper end this week to $340-350/mt CFR
Additionally, Vietnam has bought an ex-Russian cargo for A3 grade scrap at $327/mt CFR.
For the second week, there are new ex-Russia deals done by South Korean mills. One has bought a cargo from Russia with A3 grade scrap at $315/mt CFR this week.
The Tokyo Bay FAS-based prices for H2 grade scrap have moved down by JPY 1,000/mt to JPY 39,500/mt ($267/mt), down by $5/mt as compared to the levels recorded last week. The FOB-based export price remains at JPY 40,500/mt ($274/mt) for the grade in question, down by $5/mt.
Import scrap prices in Pakistan have shown a slight downward bias this week, prompting a few mills to resume bookings. However, overall demand remains sluggish as monsoon-related disruptions continue to hamper mills’ operations and construction activity. Import shredded scrap prices for ex-UK/EU origin have settled at around $380-384/mt CFR levels, compared to $380-390/mt CFR last week. According to sources, several deals for ex-UK shredded scrap were signed at $380/mt CFR at the beginning of this week, down by $1-3/mt week on week. Besides, a deal for ex-EU shredded scrap has been signed at $379/mt CFR, according to sources. According to sources, while some buyers took advantage of the small price correction, most are still adopting a cautious stance amid ongoing seasonal and economic uncertainties. Meanwhile, local prices of scrap equivalent to shredded in Pakistan have settled at around PKR 140,000-142,000/mt ($492-499/mt) ex-warehouse, down by PKR 1,000/mt ($3.5/mt) on the higher end of the range over the past week. Besides, the tradable level for local 10-12 mm rebar of grade 60 has been heard at PKR 235,000-240,000/mt ($827-844/mt) ex-works, moving sideways week on week.
Import scrap prices in Bangladesh have declined this week, as limited construction activity and weak downstream demand continue to weigh on the market. Most offers for shredded scrap in containers from Australia have been voiced at $370-375/mt CFR, compared to $375/mt CFR two weeks ago. Besides, offers for ex-Malaysia shredded scrap have been voiced at $375/mt CFR, though most bids have settled at $365-370/mt CFR. In the bulk segment, ex-Japan H2 offers have been voiced at $340-345/mt CFR levels, the same as two weeks ago. However, buyers’ bids have declined to $335/mt CFR. Meanwhile, indicative offers for ex-US HMS I/II 80:20 scrap have remained stable at around $350-355/mt CFR levels. With the monsoon season expected to persist until November, construction across the country remains subdued, putting additional pressure on steel consumption. Market participants also point to the absence of new government infrastructure announcements, which has further dampened sentiment and kept buying interest low among mills. As a result, scrap importers have adopted a cautious approach, waiting for clearer signals of a demand recovery before resuming significant bookings.