SteelOrbis has observed that short sea scrap suppliers have reached their long-term price target of $250/mt CFR Turkey in the current week.
Approximately 35,000-40,000 mt of HMS I/II 80:20 scrap has been sold from the Adriatic region and Romania to Turkey’s Marmara and İzmir regions this week at $250/mt CFR. In the previous round of sales, ex-Adriatic and ex-Romania HMS I/II 80:20 scrap was transacted at $245-246/mt CFR Turkey.
Additionally, deal price levels for ex-Bulgaria HMS I/II 80:20 scrap are currently in the range of $248-249/mt CFR Turkey. According to some sources, short sea scrap purchases in the current week have totaled around 40,000-45,000 mt.
Market sources state that the market is active with ongoing demand being received from Turkish mills. As mentioned in previous reports, short sea suppliers in the mentioned regions had been targeting the $250/mt CFR level for some time.
According to market sources, Russian suppliers are currently maintaining a wait-and-see stance, while it is known that domestic demand in Russia is still strong.
Turning to the Mediterranean, market sources state that price ideas of suppliers in Israel and Cyprus for HMS I/II 75:25 scrap are at $235/mt CIF Iskenderun. Last week, some deals were closed from these locations at around $231/mt CIF Iskenderun.
An expectation for a gradual uptrend of prices is observed on the short sea side, while demand is expected to continue in the coming week.