Turkey Ferrous Scrap Imports Rise 39% in Oct'18 on Falling Semi-Finish Imports

US scrap exports increase 54% while that from Russia Jump 87% M-o-M in Oct'18 to Turkey

Turkey-world's largest scrap importer has observed the significant rise of 39% M-o-M in scrap imports in Oct'18. Falling semi-finish imports despite rising global scrap prices could have resulted in rising scrap imports in Oct'18.

As per recent customs data, the country imported 1,710,104 MT ferrous scrap in Oct'18, up 39% M-o-M as against 1,226,517 MT imports recorded in Sept'18. On yearly premises, scrap imports declined by 20% Y-o-Y in Oct'18 as against 2,144,501 MT ferrous scrap in Oct'17.

On the other hand, Turkey observed sharp fall in semi-finish imports in Oct'18. It imported 148,906 MT billet, down 62% M-o-M and 134,692 MT pig iron, down 4% M-o-M.

After witnessing more than 1 year's low imports in September, Turkish scrap imports could have jumped back to usual levels on stability in currency and normalization of new trade tariffs.

Turkey imported scrap prices showed an uptrend in Oct'18 - The monthly average import price for USA HMS (80:20) stood at USD 332/MT, CFR Turkey in Oct'18 as against USD 322/MT in Sept'18. However, global scrap prices tumbled sharply down by USD 25-30/MT in a months' time in Nov'18.

USA remained the largest scrap exporter to Turkey - USA supplied 395,062 ferrous scrap in Oct'18, up 50% M-o-M occupying highest 23% share in Turkey's total scrap imports. Second largest supplier Russia (279,023 MT, +83% M-o-M) observed a sharp fall in billet exports to Turkey in Oct'18 while growth in scrap exports despite the ban imposed by the Russian government.

Other prominent suppliers like United Kingdom (199,469 MT, +39% M-o-M), Netherland (109,413 MT, +57% M-o-M), Canada (104,801 MT, +100% M-o-M) and Denmark (79,332 MT, +218% M-o-M) have also observed a sharp rise in exports to Turkey in Oct'18.

Turkey imported 17.48 MnT ferrous scrap in Jan-Oct'18 witnessing a rise 3% Y-o-Y as against 17.03 MnT during the same period last year. Scrap imports remained strong despite high global scrap prices amid firm EAF steel outputs in the country as against last year.

According to the data released by World Steel Association, crude steel production in Turkey stood at 31.29 MnT during Jan-Oct'18 which is marginally up as against 31.04 MnT in the same period last year, Also up 7% M-o-M to 3.16 MnT in Oct'18 as against 2.94 MnT in Sept'18.

Country-wise Turkey ferrous scrap imports -

Quantity in MnT,
Source: SteelMint Stats