Ex-
US scrap bookings to
Turkey have seemed to fall silent since our last report to weeks ago-- the most recent HMS I/II (80:20) cargo was booked mid-October at $334/mt CFR, with shredded
scrap cargos sold during that same time period at $339/mt CFR. Turkish mills, however, have been booking cargos out of St. Petersburg and Canada at similar price points.
Sources close to SteelOrbis say that
US export yards and Turkish mills have seemingly entered a standoff situation, where neither side wants to blink first. Some speculate the market may have hit its “low point” and that further price erosion is unlikely; it’s been rumored that
Turkey may be imposing a 40 percent tax on Chinese billet, which has been a hot commodity in recent weeks due to its cheap price. Others point to relative softness in the
US domestic
scrap market, and how the “down $20/lt” forecast for November has recently been revised to “down $30/lt” for most regions, which would certainly take the “ship
scrap into the Ohio Valley” component out of the equation. Whether the
scrap trend turnaround comes in December, or if this trend will continue through February, has yet to be seen.