Following the ex-EU scrap transactions to Turkey disclosed to the market late on Friday, March 26, two new deals - reportedly done on the same day - have been shared with the market.
A mill in Turkey’s Iskenderun region has reportedly concluded the bookings in question. In an ex-UK deal, HMS I/II 80:20 scrap has been bought at $410/mt CFR Turkey, for April shipment, market sources state. SteelOrbis had revised its ex-EU benchmark scrap prices on Friday, March 26, to $411-416/mt CFR in accordance with the bookings disclosed late on Friday.
Meanwhile, an ex-US scrap cargo bought by the same producer consists of HMS I/II 80:20 scrap at 427/mt CFR, shredded scrap at $432/mt CFR and bonus grade scrap at $437/mt CFR. Although this deal has not been confirmed by the seller or the buyer, it is largely believed to have been done. Prior to this deal, SteelOrbis’ estimations for ex-US HMS I/II 80:20 scrap were at $420-425/mt CFR.
Additionally, an older booking from last week has been disclosed to the market today. A Marmara-based mill concluded the ex-Denmark transaction around the middle of last week for HMS I/II 80:20 scrap at $414/mt CFR, shredded scrap at $419/mt CFR and bonus grade scrap at $424/mt CFR. As the previous confirmed deal from the Baltic region was concluded in the first half of March with HMS I/II 80:20 scrap at $430/mt CFR, SteelOrbis estimates that the upcoming prices from the region will be more similar to the current ex-US quotations.
Market sources state that the import scrap market is lively today, Monday, March 29. Turkish mills continue to make price inquiries and some new deals may be heard in the coming days. Some market sources have drawn attention to Chinese rebar export prices, and also to the limited number of ex-China offers, stating that the high price levels create good opportunities for Turkish mills to sell to Asia. Meanwhile, some traders report that the local Turkish rebar market has also made a good start to the current week. Some revival in demand has been observed and it is expected to be supported by the approach of spring, traders’ low levels of inventories, and also the depreciation of the Turkish lira against the US dollar as the Turkish mills continue adjust their prices to offset currency fluctuations.