Despite Eid holidays ahead and ongoing Ramadan being a typical period of low buying and trading activities, Turkey-based importers have continued booking significant volumes of scrap since last two weeks’ time. USA based scrap suppliers have returned to the markets and this week 7-8 scrap cargoes have been booked comprising around 177,000 MT scrap from Turkey based buyers.
According to SteelMint’s assessment, recent deals concluded pushed the price assessment for USA origin HMS (80:20) scrap at around USD 355-356/MT, CFR Turkey up by USD 8-10/MT against the last report towards last week close at USD 345-348/MT. The premium for HMS scrap from USA over northern European stood at USD 9-10/MT.
The price gap between HMS 1&2 and Shredded remained widened upto USD 10-12/MT on strong demand for high-grade scrap and tightened supply. Steel mills in Turkey remain desperate to book high-grade scrap like Shredded, Bonus and P&S scrap.
UK based suppliers rolled over the prices firm for a second month in June and Turkish steel mills have been looking to import more scrap from European exporters amid strong demand for remaining July deliveries.
Turkey imported scrap trade-wise updates –
1. A steelmaker based in Iskenderun region booked a Northern American cargo from a leading supplier-AIM containing 50,000 MT scrap comprising 15,000 MT HMS 1&2 (90:10), 15,000 MT Shredded and 20,000 MT of P&S scrap at an average price of USD 367/MT, CFR Turkey
2. Stena company, a supplier from Baltic region sold a cargo to Marmara region based importer ICDAS comprising 7,000 MT of HMS 1&2 (80:20) at USD 348/MT and 20,000 MT of Shredded at USD 362/MT, CFR Turkey
3. A German supplier TSR sold a cargo to another steel mill in Iskenderun region comprising 18,000 MT HMS 1&2(75:25) at USD 343.5/MT and 12,000 MT Bonus at USD 364/MT, CFR.
4. Earlier to this, two USA based were cargoes sold in the mid of the week, ICDAS booked a total 40,000 MT USA cargo comprising HMS 1&2 (80:20) at USD 344.5/MT and Bonus at USD 354.5/MT, CFR while another cargo sold to Marmara based importer comprising 18,000 MT HMS 1&2 (75:25), 9,500 MT Bonus and 2,500 MT Forging scrap at an average price of USD 339/MT, CFR
5. Habas Steel mill booked a cargo two days earlier comprising 15,000 MT HMS 1&2 (80:20) at USD 346/MT, 4,000 MT of Shredded and 1,000 MT of Bonus at USD 361/MT, CFR
Finish long steel prices in Turkish domestic market have weakened while in export markets offers have increased. Few limited quantity deals for rebar heard to have booked in the Turkey markets however demand hasn’t picked up considerably yet and weakening lira remained a matter of concern.
Rebar export prices assessed in the range of USD 545-550/MT, FoB Turkey and domestic rebar assessed at 540-550/MT, ex-works. While billet export prices increased by USD 5/MT W-o-W and remained at around USD 535-540/MT, FoB Turkey.
Lira depreciates again in a weeks’ time – Turkish currency Lira depreciated again by around 6% this week against USD. Today USD/TRY rate stood at 4.74 which was trading at around 4.47 a week ago.
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