Along with the slight increases in Turkey’s deep sea scrap segment, short sea scrap quotations for Turkey have also indicated a rise. Market sources state that demand for short sea scrap is slow but still exists and some deals have been done, though some suppliers are in no rush to conclude further sales due to their expectations of a further increase in prices.
SteelOrbis has learned that a total of 14,000 mt of HMS I/II 80:20 scrap from Romania and the Adriatic region were sold to Turkey’s Marmara and Izmir regions in the range of $460-463/mt CFR at the beginning of the current week. Prior to this information, estimations for the same grade were at $460/mt CFR Turkey. The new acceptable levels are considered to be $465/mt CFR and above.
Russia has been silent over the past week due to its holidays. Meanwhile, market players are wondering what impact the new export duty on scrap in Russia could have. At the very end of December, the Russian authorities approved an amendment to the existing export restrictions on the steel scrap segment. The export tax for ferrous scrap has remained at the five percent level, but the minimal equivalent has been increased from €5/mt to €45/mt. The renewed restriction will be valid for 180 days from when the official document came into force. This has been interpreted as a move by the Russian authorities to protect their domestic industries.
On the other hand, Cypriot and Israeli suppliers are offering HMS I/II 75:25 scrap to Iskenderun in the range of $440-445/mt CIF.
