Although import scrap deals are still heard in Turkey, Turkish demand for import scrap has failed to reach strong levels, while it is observed that Turkish mills are continuing to exert downward pressure on import scrap prices. In the ex-Baltic scrap deals concluded last week, HMS I/II 80:20 scrap prices were in the range of $352-356/mt CFR, while US suppliers reduced their HMS I/II 80:20 scrap prices to Turkey to $360-362/mt CFR. Although an ex-Europe HMS I/II 75:25 scrap deal concluded at $342/mt CFR was perceived as the beginning of a declining trend in prices, causing Turkish mills to reduce their price expectations for deep sea HMS I/II 80:20 scrap below $350/mt CFR, the targeted price levels were nowhere to be found. Also, an ex-Denmark HMS I/II 80:20 scrap deal at the end of last week was concluded at $356/mt CFR.
The Turkish rebar sales concluded to Ethiopia and other export markets following the sales concluded to Canada earlier in the current month as well as the recent Turkish billet sale made to North Africa have provided some slightly reassurance for Turkish mills. Meanwhile, it is observed that Turkish mills were forced to reduce their rebar export quotations in order to conclude these sales. The ongoing uncertainty regarding the protectionist measures against import steel taken by the US and the EU as well as the fluctuations seen in the Chinese steel market have increased apprehensions amongst international buyers, leading them to limit their purchases in line with their needs. Under these circumstances, Turkish steel mills are still maintaining a cautious stance as regards new import scrap purchases.