The sharp downturn currently seen in Turkey’s import scrap market has finally been reflected in the scrap purchase policies of Russian exporters, specifically those in the St. Petersburg region. According to sources, the purchase price levels for A3 grade in the region have decreased in a few separate steps by $33-35/mt (RUB 1,900-2,000/mt) to $322/mt (RUB 24,300/mt) CPT. “Those are the volumes for new shipments, which are going to be low-priced according to the current situation in Turkey,” a trader told SteelOrbis. In addition, the revised export tax which is now five percent and a minimum €45/mt puts pressure on the exporters’ costs.
In the meantime, mills’ purchase prices in the Central and Ural regions of Russia are at $365/mt (RUB 27,500/mt) and $349/mt (RUB 26,300/mt) respectively, both on CPT basis.
Prices exclude 20 percent VAT.
$1 = RUB 73.7
