Turkish mills have continued negotiations for import scrap purchases and have been forced to accept a further increase, with some deals already rumored above $290/mt CFR, SteelOrbis has learned.
An Izmir region-based Turkish mill bought a scrap cargo from a supplier in the Baltic region late last week. The cargo included 20,000 mt of HMS I/II 80:20 scrap at $289.25/mt CFR and 5,000 mt of bonus grade at $299.25/mt CFR. It will be shipped in the first half of February. As a result, the ex-Baltic scrap price level has increased by $9.25/mt compared to the previous deal.
Market players believe that import scrap prices still have some room to increase as higher offer and deal prices have been heard on Monday, December 9. There has been a rumor that a deal from Europe has been done at $292/mt CFR for ex-UK HMS I/II 80:20 scrap; however, the details have not been disclosed by the time of publication.
Following a long break, today offers from the US have appeared in Turkey. Ex-US HMS I/II 80:20 scrap has been offered at $295-298/mt CFR for December shipment.
Market sources expect that Turkish mills will keep buying import material and that new deals at higher levels will be done in the near future, SteelOrbis understands.