- Turkiye delays purchases on competitive billet offers
- US holidays slow trade, support stable scrap market
US ferrous scrap export prices remained largely stable w-o-w, inching down by $1/tonne (t), as Turkiye, a key market, remained quiet. Holiday closures in the US towards the weekend also supported overall price stability.
A trader noted that the typical mid-summer slowdown in scrap collections during the vacation season has kept supply balanced amid steady demand from domestic steelmakers. These mills continued to benefit from strong domestic finished steel prices, supported by the additional import tariffs imposed during the Trump administration.
In the US domestic market, buyers and sellers agreed to keep scrap prices stable for July deliveries, marking the second consecutive month of price stability even before the extended holiday weekend.
FOB assessments (US East Coast, bulk)
- HMS 80:20 -$320/t, down by $1/t w-o-w.
- Shredded -$340/t, down by $1/t w-o-w.
Updates on key importers
Turkiye: Demand for US-origin scrap in Turkiye remained subdued, yet some deals were heard concluded, with mills largely refraining from fresh bookings as deep-sea scrap prices hovered at around $345/t CFR.
Factors pressuring the Turkish market included the following:
- Competitive offers for Asian billets put pressure on scrap demand.
- Finished steel prices and rebar demand were weak in both domestic and export markets.
US-origin HMS 80:20 offers mostly ranged between $345-348/t CFR, though mills resisted paying above $340-345/t CFR. European exporters were reluctant to reduce prices due to a stronger euro and lower summer scrap collection.
Bangladesh: Demand for US-origin scrap in Bangladesh remained cautious this week, with buyers actively seeking lower prices over slow steel sales and no immediate requirements. Overall, imported scrap prices slipped, as mills negotiated harder to secure some cheaper deals.
Recent bulk sales of shredded scrap from the US were concluded at $350-352/t for August shipment, as mills tilted towards more competitive pricing.
Bangladeshi mills, facing tight margins, increasingly explored alternative sources such as Australian and UAE-origin cargoes, as stable US offers for premium scrap remained out of reach for many buyers focused on cost savings.
Vietnam: Demand for US-origin scrap in Vietnam dampened further this week, and imported ferrous scrap prices slipped amid dull market activity. Buyers stayed cautious, wary of soft end-user consumption.
With the rainy season weighing on downstream steel demand, Vietnamese mills were hesitant to commit to new US scrap purchases, preferring to wait for further price corrections or clearer signs of market recovery.
US-origin HMS 80:20, bulk – CFR assessments
- Turkiye – Stable at $345/t.
- Vietnam – down by $2/t to $338/t.
- Bangladesh – down by $12/t to $355/t.
Outlook
In the absence of strong market cues, participants remain cautious, holding prices steady amid persistent trade uncertainty. With medium-term scrap demand in the US offering little clarity, the market outlook is expected to remain range-bound for now.
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