US East Coast export scrap yards have been relatively quiet when it comes to offer prices, although market players say this is less about strategy and more about supply. “Inflow into the yards is still way off,” according to one East-coast based source. “Not only is intake off, but there is also a lot of high-prices inventory that people are trying to manage.”
US domestic scrap prices within that region, which were initially forecast as holding steady for April buys, may also find themselves creeping upward for those same reasons. Mill capacity rates continue to be down, and while “no one expects a massive flood of orders next month,” some will need to buy and “they’ll need to pay a little more when they do it.” If the market does settle up for April buys this could help export yards hold their line in the sand.
That’s not to say that Turkish mills aren’t hopeful for lower prices. Other SteelOrbis sources say that while the most recent ex-Baltic booking for HMS I/II 80:20 scrap was concluded at $258/mt CFR, which is on par with the most recent ex-US bookings, “Turkish mills are hoping to inch those prices down a notch.”