Prices to the US East Coast (USEC) improved by $10/gt ($10.1/mt) this week as sellers are asking for better prices in light of higher export prices to Turkey. At the New York and Philadelphia docks, the price of HMS I moved up by $10/gt ($10.1/mt) to $280-290/gt ($284.5-294.6/mt) delivered export yard. Some contacts in Philadelphia reported still seeing lower sales levels, specifically at $260-265/gt ($264.1-269.2/mt) delivered, unchanged from last week. Shredder feed rose by $10/gt ($10.1/mt) to $260-265/gt ($264.1-269.2/mt) delivered.
Export prices to Turkey have been increasing. On Friday, a new sale from the US was confirmed of $420/mt CFR Turkey for shredded material, bringing the price of US-origin HMS I/II 80:20 to $400/mt CFR Turkey, an increase of $2.5/mt from the previous deal. The trend is expected to continue upward while the US-Israel-Iran war continues.
In Boston and Houston, dock contacts report no changes this week. The price of HMS I to the Boston docks remains at $250-260/gt ($254-264.1/mt) and shredder feed at $160/gt ($162.5/mt), in both instances on a delivered to export yard basis.
In both the docks and domestic market, there is a sense of resistance among sellers as they have seen sustainable strength in scrap export and finished steel prices. Initial developments for the US April domestic trading cycle have seen some mills in the Southeast announce a -$20/gt ($20.3/mt) for obsolete grades. In the South, mills were expected to be slightly more aggressive and try to decrease secondary grades by $30/gt ($30.5/mt).
No price announcements for the Midwest have been made, but some sellers already mention that they will refuse to sell at downward prices. Some buyers have pointed to possible sales that have already transpired on the USEC domestic market for shredded material at $30/gt ($30.5/mt) below March-settled prices. The buyers claim that mills will obtain the tonnages they need. Domestic trading in the US is ongoing.