Turkey has concluded several deep sea scrap transactions, all indicating higher prices for the benchmark HMS I/II 80:20 grade.
SteelOrbis has learned that an Iskenderun-based Turkish mill has bought a cargo from northern Russia for 13,000 mt of HMS I/II 95:5 scrap at $273/mt CFR. The latest loading date for the cargo is August 19. Market sources believe that the benchmark HMS I/II 80:20 price from northern Russia in light of this information should be at around $265-266/mt CFR Turkey.
A Marmara-based steelmaker has concluded an ex-US booking for 17,000 mt of HMS I/II 80:20 scrap at $267/mt CFR, 8,000 mt of shredded scrap at $272/mt CFR and 6,000 mt of bonus grade scrap at $277/mt CFR, to be shipped in the second half of August.
Also, a cargo from St. Petersburg has been bought by another Iskenderun-based producer, consisting of HMS I/II 80:20 scrap at $266.5/mt CFR and bonus grade scrap at $276.5/mt CFR. This cargo will be shipped before August 31. Prior to these deals, deep sea scrap quotations in Turkey were in the range of $255-265/mt CFR, with the lower end representing ex-EU HMS I/II 80:20 scrap.
According to market sources, the new targeted price levels of US and Baltic suppliers will be at around $270-275/mt CFR Turkey. On the European side, HMS I/II 80:20 scrap quotations are believed to be at around $260-265/mt CFR Turkey and above. Some believe that Turkish mills have bought most of their needed tonnages for August shipments, and so there is room left for six to seven cargoes to be booked at most.
