Turkish mills are actively booking deep-sea cargo for Dec’21 shipments. Imported scrap offers have crossed the $500/tonne (t)-CFR mark in recent deals. Scrap suppliers managed to push offers to high levels for December shipment. Prices have climbed to over four-month highs, as per data maintained with SteelMint.
SteelMint’s assessment for US-origin HMS 1&2 (80:20) stands at $502/t CFR Turkey, registering a sharp hike of over $20/t w-o-w.
An Iskenderun-based steel producer booked 32,000 t of HMS 1&2 (80:20) at $502/t CFR and 3,000 t of bonus material at $522/t CFR from a Baltic-region based supplier. The shipment of the lot is scheduled for the first half of December.
Recent trades
Turkish market overview
- Lira loses value further: The lira has edged to new all-time lows, although experts estimated that a rebound could be in store for the Turkish currency over the coming days. Currently, the lira is being traded at TRY 9.43, against the previous TRY 9 recorded last week as compared to the dollar.
- Domestic scrap prices follow global trend: With the weakening of the national currency and increasing global scrap prices , a few steel mills have raised their domestic scrap purchase prices although other mills are keeping their purchase prices unchanged for the time being.
- Lira dominates domestic rebar prices: Turkish steel producers have started this week with a further increase in domestic rebar prices, getting support from the upward movement in import scrap prices as well as a billets shortage. Turkey’s Icdas, a major long steel producer, has raised its domestic rebar offers by TRY 150/t to TRY 8,120/t exw-Biga and TRY 8,230/t CFR Marmara since the end of last week.
- Billets shortage supports price hike: Billet prices continued to move up in both local and overseas markets, owing to the scarcity in billets. Turkey’s integrated mill Kardemir has announced fresh billets sales in the local market, with offers at $715-720/t exw, according to the official price list. Kardemir sold over 80,000 t of the semis and closed sales within a day.
Outlook
Overall, the Turkish upward price momentum is likely to be maintained in the near term. Yet, steel mills are active for booking December shipments.
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