Amid the positive mood in Turkey’s import scrap market with the support of demand from mills, the low number of sellers and the positive expectations for China’s return from its holiday, the short sea scrap market is also waiting for a price increase.
SteelOrbis has learned that several Bulgarian cargoes were sold to Turkey at the beginning of the week, with HMS I/II 80:20 scrap prices in the range of $455-462/mt CFR. The total tonnage of these cargoes came to approximately 5,000 mt. However, another ex-Bulgarian cargo was sold to the Marmara region yesterday, February 2, at $472/mt CFR, and so prices have moved up sharply.
There has been an ex-Adriatic deal closed by a İzmir-based producer, with HMS I/II 80:20 scrap standing at $470/mt CFR.
No bookings from Romania have been heard, though sellers have maintained a wait-and-see stance amid the uptrend of import scrap prices in Turkey, SteelOrbis understands. “Suppliers do not even consider the level of $470/mt CFR to be workable,” a source commented. Both in Romania and Bulgaria, domestic demand for scrap is strong, supporting export quotations. “Current bids do not meet suppliers’ collection costs as far as we understand,” a player commented. Another supplier stated that Turkish mills are seeking short sea cargoes, “but expectations for deep sea scrap are very positive, hence we are waiting for now.”
For HMS I/II 75:25 scrap from Israel, the latest booking was done at the beginning of the week at $455/mt CIF Izmir. Additionally, Libyan suppliers’ idea for HMS I/II 85:15 scrap has moved up significantly to a minimum $475/mt CFR, from the level of $452/mt CFR in a deal last week.
As a result, SteelOrbis’ short sea scrap prices for HMS I/II 80:20 grades have been revised to $470-475/mt CFR, indicating a $10/mt increase from the previous levels.