Turkey: Imported Scrap Prices Inch-up in Latest Bookings

In line with the continued active bookings by Turkish steelmakers since post-Eid Holidays, several fresh cargo bookings were confirmed yesterday from North American and Baltic origins, as prices inched up slightly.

Among the latest deal confirmed yesterday, a USA based scrap recycler sold a bulk vessel to a steelmaker located in Southern Turkey. The bulk cargo comprised of 21,000 MT of HMS 1&2 (90:10) at USD 259/MT, 4000 MT of shredded at USD 261/MT and 5000 MT of P&S at USD 266/MT CFR Turkey, putting HMS 1&2 (80:20) price at USD 256/MT CFR, slightly up from the last booking.

Another prominent Canada based scrapyard sold a 50,000 MT of bulk vessel to Eastern Black Sea region based steel mill, comprising of 18,000 MT of shredded, 20,000 MT of HMS 1&2 (95:5) and 12,000 MT of P&S at an average price of around USD 261.50/MT CFR Turkey. Which puts the price of HMS 1&2 (80:20) at around USD 254-255/MT CFR Turkey.

In line with deals concluded this week, an Aegean region-based steelmaker has booked a deep-sea bulk vessel, from major recycler located in the USA, comprising of shredded at USD 259.5 /MT, CFR and bonus at USD 264.5/MT CFR Turkey, hence USA origin HMS 1&2 (80:20) price assessed at USD 254.5 /MT CFR.

Additionally, a Western Turkey-based steelmaker booked a bulk cargo from the recycling yard based in the European region, while the cargo comprising of HMS 1&2(80:20) at USD 254/MT and bonus at USD 264/MT CFR Turkey.

After normalizing the offers on the latest deals, SteelMint’s assessment for USA origin HMS 1&2 (80:20) remains mostly stable, at USD 255/MT CFR Turkey, a marginal rise from yesterday’s report. However, offers from European origin stands at around USD 250/MT, CFR Turkey.

Although, bookings in the month of May sharply increased in comparison to a slow April, however, majority of these bulk cargoes were Europe origin with USA suppliers not managing to sell much volumes, as recorded by SteelMint. This factor further contributed to the narrowing of the price difference between USA, Baltic and European origin cargoes. However, now USA yards are witnessing decent bookings, and prices may inch up further in the coming days.