An older ex-US scrap deal has surfaced in Turkey’s import scrap market, with the HMS I/II 80:20 scrap price at a lower level.
SteelOrbis has heard that an Iskenderun-based producer concluded the deal from the US with HMS I/II 95:5 scrap at $395/mt CFR and shredded scrap at $407.5/mt CFR. Considering the shredded scrap price, the HMS I/II 80:20 scrap price indication would be at around $387.5/mt CFR. However, deals done after this were closed at $389-389.5/mt CFR for ex-US HMS I/II 80:20 scrap and so SteelOrbis will not change its reference price.
Some Turkish mills are inclined to sign new deals if they find deep sea cargoes at the current price levels, but there is not a high number of such cargoes. Market sources believe that the uptrend of the import scrap segment has come to an end and that $390/mt CFR, which has not been recorded since late February this year, may be the peak of prices. Having said that, a dive in prices is not expected either, while the general view in the market is for a firm sideways movement at least for ten days.