Turkish mills mostly reduce domestic scrap prices

Over the past week, Turkish mills mostly have cut their domestic scrap procurement prices by TRY 150-640/mt or $9-34/mt week on week. Since the Turkish lira has continued to depreciate against the US dollar from 19.45 to 19.50 to the dollar this week, keeping lira-based prices stable has resulted in a $1/mt cut in dollar-based prices. The negative trends observed in deep sea and short sea scrap markets are exerting pressure on domestic scrap prices. A source commented, “It will not be a surprise if we see a further decline in the local Turkish scrap market.”

The general range in the local Turkish scrap market for the benchmark DKP grade scrap is currently at TRY 7,200-8,300/mt ($359-426/mt), from TRY 7,200-8,400/mt ($370-432/mt) recorded last week.

All above prices are for deliveries to customer and exclude VAT. Exchange rate fluctuations are taken into consideration when calculating the dollar-based price changes.

$1 = TRY 19.50