Turkey’s deep sea scrap prices have declined in a new ex-EU scrap booking disclosed at the weekend.
SteelOrbis has learned that an ex-Belgium scrap booking done by an Iskenderun-based producer was closed for 24,000 mt of HMS I/II 80:20 scrap and 16,000 mt of a mixture of higher grades such as shredded and bonus grade at the average price level of $381/mt CFR. With the general $20/mt gap between HMS I/II 80:20 and higher grades, the HSM I/II 80:20 scrap price is estimated at around $373-375/mt CFR, down $5.5/mt from the previous level.
The announcement made by China over the weekend failed to stimulate the international steel and scrap markets. As of October 14, average Chinese domestic rebar and wire rod prices have indicated decreases amid declining rebar futures prices. During the past week, China’s Ministry of Finance announced that it would issue a series of stimulus policies, though which may not be as strong as market players’ expectation for funds of RMB 2.0 trillion and so domestic rebar and wire rod prices have been negatively impacted.
The negative sentiment in the Turkish scrap market has continued today, October 14. With two producers resuming production, domestic rebar prices in Turkey are also anticipated to soften, market sources report.
Meanwhile, the World Steel Association (worldsteel) has released its Short-Range Outlook for 2024 and 2025, forecasting that global steel demand will drop by 0.9 percent this year to 1.75 billion mt and rebound by 1.2 percent in 2025 to 1.77 billion mt, after three years of decline.