Turkiye: Imported ferrous scrap prices inch up w-o-w amid improving sentiment, limited availability

• Moderate trade seen as rebar demand strengthens
• Elevated European freights curb competitiveness

Imported deep-sea ferrous scrap prices in Turkiye rose slightly by $2/tonne (t) w-o-w, remaining broadly stable as sentiment improved and participants expected near-term price gains. Limited cargo availability from the US and subdued mill demand kept activity moderate.

Elevated European freights continued to curb competitiveness, while seasonal scrap generation declined. Winter shipping disruptions may tighten supply in the coming weeks.

Price assessments

• US-origin bulk HMS 80:20 was assessed at $356/t CFR Turkiye, up by $2/t w-o-w.
• Bulk HMS 80:20 from the US East Coast stood at $325/t FOB, down by $3/t w-o-w.

The scrap-to-rebar spread stayed around $195-200/t, with rebar offers at $545-550/t FOB.

Market scenario

Some US sellers were still targeting $360-365/t CFR, though Turkish mills resisted higher levels amid fluctuating domestic rebar demand. Tradable values for US-origin HMS 80:20 were heard between $354-357/t CFR.

A market participant commented, “A leading mill purchased a 50,000-t mixed cargo of HMS 90:10 and shredded scrap from a Pacific Northwest exporter, marking the first West Coast shipment to Turkiye since 2021. Loaded from Vancouver, Washington, for December delivery, prices were estimated at $350/t for HMS and $370/t for shredded scrap.”

The deal could reopen a trade route for US exporters as Asian demand weakens. West Coast shipments to Asia have slowed due to delayed construction recovery, financing challenges, and political uncertainty in Bangladesh, while Indian mills increasingly rely on domestic iron metallics, further reducing imported scrap demand.

Stronger rebar demand and tight scrap supply in Turkiye are creating opportunities for US exporters, with shredded fetching about $20/t more than HMS, versus a $5/t gap in South Asia.

Domestic market updates

In the downstream market, participants closely monitored rebar trends as mills focused more on domestic sales than exports.

A mill-side participant commented, “Mills are not showing aggressive scrap buying interest at the moment, but sellers are also holding back.”

Outlook

Market sentiment remains cautiously optimistic. Seasonal supply constraints, firm rebar demand, and limited global scrap availability may lend short-term support, though mills are expected to continue with selective purchasing.