As Turkey continues to book deep sea scrap cargoes, prices are maintaining their levels in the range of $491-500/mt CFR for benchmark HMS I/II 80:20 scrap.
SteelOrbis has learned that an Izmir-based mill has bought a cargo from Finland, consisting of 11,000 mt of HMS I/II 80:20 scrap at $500/mt CFR, 15,000 mt of shredded scrap at $520/mt CFR and 3,000 mt of bonus grade scrap at $520/mt CFR. The cargo will be shipped in December. SteelOrbis’ daily price before this deal for ex-Baltic benchmark grade was at $498/mt CFR in a deal disclosed yesterday.
SteelOrbis observes that Turkish mills are seeking to continue deep sea scrap purchases. A European supplier stated that $490-495/mt CFR is workable for many sellers in the EU. A German supplier stated that the water levels in the country have risen, and so local river freight rates are now $5/mt lower but the number of ships is still on the low side as most carry coal. Some European suppliers expect prices to exceed $500/mt CFR again. A Turkish mill said that there is no oversupply in the deep sea segment, and so prices are still firm with producers seeking cargoes. Another supplier from St. Petersburg stated that some larger mills will start looking for shipments for January in the short term, which is expected to support prices.
Ex-Romania HMS I/II 80:20 scrap was sold to Turkey at $468/mt CFR this week, though the short sea segment remains relatively silent. One supplier stated that mills’ want to book spot cargoes and are willing to pay slightly higher levels for them due to the ongoing extended delivery periods for Black Sea shipments. The latest ex-Israel deal for HMS I/II 75:25 was closed at $450/mt CIF Iskenderun, though with the firm stance observed in the deep sea segment, sellers now think that the workable levels are in the range of $450-455/mt CIF for this grade. Also, a cargo from Libya has been priced at $455/mt CIF Iskenderun for HMS I/II 80:20 scrap.