- Limited US supply prompts swift procurement by Turkiye
- Rains, weak steel market dampen demand from Bangladesh
US ferrous scrap export prices rose by $9/tonne (t) w-o-w, supported by firm demand from Turkish mills and a recent East Coast transaction. Turkish steelmakers continued restocking for November shipments despite elevated freight costs amid rising US-China maritime trade tensions.
Additionally, the US implemented revised port fees for Chinese-linked vessels, which are considerably less stringent than initially proposed. The original proposal by the Office of the US Trade Representative had suggested fees of up to $1.5 million per entry for Chinese-built vessels, drawing strong opposition from much of the US industry.
FOB assessments (US East Coast, bulk)
- HMS 80:20 – $321/t, up by $9/t w-o-w
- Shredded – $341/t, up by $9/t w-o-w
Updates on key importers
Turkiye: Demand for US-origin ferrous scrap in Turkiye remained firm, supported by ongoing November shipments and strong buying interest from mills. US-origin HMS 80:20 prices rose by up to $6/t w-o-w, driven by limited availability and active restocking, even as some buyers remained cautious.
Factors shaping Turkish scrap demand
- Limited US-origin supply prompted swift procurement.
- Mills continued securing November cargoes to maintain production schedules.
- Competitive Baltic and European offers influenced buying strategies.
A trader noted most US sellers had finished sales, limiting options, while some remained optimistic about recovering domestic demand and stronger exports amid the Gaza ceasefire.
Bangladesh: Demand for US-origin ferrous scrap in Bangladesh remained subdued this week, with HMS 80:20 bulk prices stable at $349/t. Buyers showed limited interest amid weak steel demand, ongoing rains, and cautious market sentiment, keeping trading volumes minimal.
Freight overview
Freights from the US East Coast to Turkiye held at around $44-46/t, partly driven by rising US-China maritime trade tensions.
US-origin HMS 80:20, bulk – CFR assessments
- Turkiye – up by $8/t w-o-w at $353/t.
- Vietnam – up by $2/t w-o-w at $342/t.
- Bangladesh – down by $2/t w-o-w at $349/t.
Outlook
US ferrous scrap export prices are expected to remain supported by strong Turkish demand and limited availability, although elevated freight costs and cautious buyer sentiment could moderate short-term gains.
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