Turkiye: Imported scrap prices rise by $2/t w-o-w despite cautious mill buying

• New EU tariff proposal makes mills cautious
• Mills raise rebar tags but struggle to sell goods

Turkiye’s deep-sea imported ferrous scrap prices increased by $2/tonne (t) w-o-w, though overall activity remained subdued. With limited fresh trading, the daily scrap price remained largely flat with cautious buying sentiment among Turkish steelmakers.

Weak downstream demand and ongoing uncertainty over European tariffs contributed to subdued market activity, keeping mills hesitant to commit to new imports.

Around 5-6 cargoes were booked over the past six to seven days at $340-347/t CFR.

Price assessments

• US-origin bulk HMS 80:20 was assessed at $348/t CFR Turkiye, up by $2/t w-o-w.
• Bulk HMS 80:20 from the US East Coast stood at $316/t FOB, up by $7/t w-o-w.

The Turkish rebar-to-scrap spread remained at $195-200/t. Rebar offers rose w-o-w to $545-550/t FOB, tracking higher scrap quotes, though actual demand has yet to match these levels.

Turkish steelmakers raised rebar prices in line with scrap movements, but mills continued to face challenges in selling material both domestically and internationally.

Market updates

Tradable values for US and Baltic-origin premium HMS 80:20 were heard at $346-350/t CFR, with US sellers offering higher levels of $350-355/t CFR amid ongoing concerns over rising ocean freight.

A market participant stated, “Some market players remained pessimistic due to weak downstream demand, while mills stayed cautious in response to new European tariffs on steel products.”

Steelmakers continued to pull back from deep-sea scrap purchases following the European Commission’s proposal to revise steel import safeguards, which includes a 47% reduction in tariff-free quotas and a 50% levy on quantities exceeding the new threshold.

Outlook

Participants are expected to maintain a cautious stance in the near term, monitoring US scrap prices. Limited trading activity, regulatory uncertainty, and soft domestic demand are likely to keep the deep-sea scrap market broadly stable, with any significant price movements dependent on changes in mill buying interest or freight.