Imported scrap prices to Turkey have slightly moved down again in latest deep-sea cargo bookings concluded in last two days, after remaining quiet for the around one week, with fresh bookings from USA and Benelux origins having got concluded at decreased prices. However on an overall basis, bookings to Turkey have been rather slow in over 2-weeks with only 5 deep-sea bookings reported during last 15 days, as mills had actively booked for July shipments in the 1st half of June and, are now taking time for August shipment deals, to get favorable prices.
* In the latest bookings, a USA west coast based major recycler sold a 30,000 t cargo to a Mediterranean region based steelmaker, comprising of 16,000t of HMS 1&2 (80:20) at $256/t CFR, 6,000t of Shredded at 261/t and 8,000t of P&S at $266/t CFR Turkey, for August shipment. This is $5/t lower than last USA origin booking.
* In another latest booking, a Belgium based recycler sold a 35,000 t cargo to the same Mediterranean region mill, consisting of 20,000t HMS 1&2 (75:25), 2,500t of Shredded and 12,500t of P&S, at an average price of $252.5/t CFR Turkey. The HMS 1&2 (80:20) price from Benelux origin is estimated to be $250/t CFR Turkey and $253.5/t from Baltic origin. The shipment is expected for Aug’20.
Prior to this, in opening of last week, a US origin supplier had sold a 27,000t cargo to an Osmaniye based mill, with HMS 1&2 (80:20) closed at $261/t CFR, while a Belgium recycler had sold a mixed cago at an average price of $ 252.5/t, putting HMS 1&2 (80:20) price at 251/t CFR from Benelux origin, at that time.
On normalizing the latest deals, SteelMint’s assessment for USA origin HMS 1&2 (80:20) stands at $256/t CFR Turkey, down by $2/t in comparison to last week’s report, while down by $5/t against previous booking’s price. Assessment for Europe origin HMS 1&2 (80:20) stands at $249-250/t CFR. After peaking at around mid-June, the prices have come down by around $12-13/t since then, due to Turkish buyers holding back.
Market expects buying activity from Turkish buyers to gradually increase from now in the coming days, with prices likely to be range-bound within this range and no sharp movement expected in near term.
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