So far, August has been a strong month for the US export scrap market, with prices firming on both coasts. In late July, Turkish mills were active in securing scrap for post-Ramadan steel production from both the US and from Europe, allowing export prices out of the US to firm about $5-$7/mt. That trend has spilled over into August, and the most recent transactions reflect price increases over late-July levels. Two weeks ago, ex-US East Coast bulk HMS I/II scrap to Turkey was sold at about $369-$372/mt CFR, with early-August cargos sold at $375-$378/mt CFR. Meanwhile, shredded scrap prices out of the US are up about $4/mt in the last couple week to $380-$382/mt CFR. A mixed cargo was also sold to Turkey out of Houston at a composite price of $382/mt CFR about a week ago. The last few days have been quiet, but exporters don't believe Turkish mills have had their fill yet. Ramadan coming to an end this past week could spur Turkish mills to actually accelerate scrap bookings in mid-August; and with US domestic scrap prices only falling slightly in the beginning of the month, export scrap prices could actually firm further in the coming weeks.
In mid- to late July, export scrap activity on the US West Coast was robust--mills in China and Taiwan purchased a number of US cargos and were forced to pay higher prices. So far this month, that activity has slowed a bit. Korean mills have been minimally active, securing the majority of their scrap from Japan. Little has been heard from China as well. Taiwan, on the other hand, has steadily purchased scrap. Dealers sold HMS I/II container scrap off the US West Coast to Taiwan for $355/mt CFR a little over a week ago. Export offers still remain at this level, but a few deals have been concluded about $3-$5/mt lower. Taiwanese rebar prices have been fluctuating, according to SteelOrbis sources, so Taiwan may aim for lower scrap prices from the US if the rebar market does not improve.