Two weeks ago, East Coast scrap exporters dropped prices for heavy melting scrap I/II (80:20 blend) and shredded scrap prices by approximately $15/mt from levels seen in early January. At that point, the ranges for HMS I/II were approximately $380-$385/mt CFR while shredded scrap asking prices were in the approximate range of $385-$390/mt CFR. That seemed to spawn some interest from Turkish mills, who had previously stepped away from ex-US bookings due to unattractive price points. In the last week of January, however, an ex-US scrap cargo of HMS I/II was transacted at $381/mt CFR, while a cargo of shredded scrap was sold at $386/mt CFR. Last week, prices have softened by another $10/mt, bringing the new range to $370-$375/mt CFR for HMS I/II and $375-$380/mt CFR for shredded scrap. Since that time, three separate deals were concluded within that range. Dealer sources say there is a lot of heavy negotiating going on, and that Turkish mills are holding their line.
Meanwhile, US West Coast scrap exporters say the market has been relatively quiet in the past week, a trend largely tied to the Chinese New Year holiday. Current prices for containers of heavy melting scrap I/II (80:20 blend) to Korea being offered in the approximate range of $355-$360/mt CFR while container prices to Taiwan are being offered at $360-$365/mt CFR. West Coast export prices are forecast at a soft-sideways trend, although the trend will not become fully clear until Asian mills start to make their February buys.