As Turkish mills are buying deep sea scrap at present, they are keeping their purchase quotations relatively stable. Sellers are willing to conclude sales at these levels, as a further increase in the market seems unlikely. SteelOrbis understands that some mills that are behind in their deep and short sea purchases and continue to seek cargoes around the current price levels, while others that have already finished their deep sea scrap procurement have started to exert pressure on short sea scrap prices. “The price is stable for now. When rebar sales slow down, we will see some mills trying to lower scrap quotations,” a seller stated.
An ex-Sweden deal was concluded by a Marmara-based Turkish mill in the middle of last week with HMS I/II 80:20 scrap at $399-400/mt CFR. This price is higher than in the previous ex-Baltic deal disclosed to the market on August 11, but is more in line with the most recent ex-US bookings in the range of $394-396/mt CFR. Again, two other ex-Baltic transactions done towards the end of last week signal a lower price level, and so the ex-Sweden deal can be considered an exceptional one.
The same buyer is rumoured to have bought another cargo from Estonia with HMS I/II 80:20 scrap at $395/mt CFR.
An ex-Denmark cargo was bought by an Izmir-based producer, with HMS I/II 80:20 scrap at $395-396/mt CFR, $4-5/mt higher than the previous confirmed ex-Baltic deal from Lithuania.
Meanwhile, an Iskenderun-based mill concluded an ex-UK deal on Friday, August 12, for 22,000 mt of HMS I/II 80:20 scrap at $387/mt CFR. This cargo will be shipped in the second half of September. The price is in line with the SteelOrbis price at $388.5/mt on average.
There are two other rumours for ex-EU scrap bookings. One deal from the EU to Izmir reportedly closed at $402/mt CFR, but was denied by both parties. According to market players, the second deal is from Belgium to Iskenderun for a cargo with the average price of $394/mt CFR. This information was not confirmed at the time of publication. According to some market sources, the cargo may consist of 22,500 mt of HMS I/II 80:20 and 7,500 mt of shredded scrap.
SteelOrbis has been informed that a couple of cargoes were sold from Romania to Turkey’s Marmara and Izmir regions towards the end of last week, with the HMS I/II 80:20 scrap price in the range of $378-385/mt CFR, indicating a small decline on the lower end of $380-385/mt CFR. Also, a volume of HMS I/II 75:25 scrap from Cyprus was sold to Iskenderun at $360/mt CIF.