Export scrap activity from the US to Turkey and the Far East has continued on its quiet trend over the last couple weeks, and expectations for a pick up remain moderate. On the US East Coast, little has been sold to Turkey in the last week after a few cargoes were sold in the last week of April. The latest deals were concluded at about $450/mt CFR for HMS I&II and $455/mt CFR for shredded scrap, reflecting an approximately $5/mt increase from previously reported prices two weeks ago, but freight rates have gone up about $6/mt since then, accounting for the increase; according to scrap dealer sources on the East Coast, there are rumors of another 5 percent ($3-$4/mt) rise in freight rates still anticipated. For the time being, Turkish mills are delaying booking from the US and have been sticking to less expensive scrap from Europe whenever possible, especially in light of a softening domestic finished steel market in Turkey--export prices for rebar and wire rod from Turkey to the US have declined in the last two weeks.
There isn't much more activity taking place on the US West Coast, and mills in the Far East and Southeast Asia have been delaying their purchases from the US as well. Chinese, Taiwanese and Vietnamese mills have been holding back orders, according to trader sources, sensing weakness in US export offer prices. US domestic scrap prices are little changed from April to May, and both flat rolled and long steel finished markets in the US are experiencing downward price trends, which one exporter explained "doesn't give Taiwan/China much incentive to think US scrap export prices will increase."