Turkey: Fresh bookings for imported scrap reported after a week, prices move down
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After remaining silent for around a week, Turkish mills return to the market this week, with a couple of deep-sea cargo bookings from USA and Benelux origins, getting concluded recently at reduced prices. However, a considerable difference between buyers bids and sellers offers still remains, keeping trades on slower side.
*Among the latest deals, a Western Marmara region based steelmaker has booked a 40,000 t mixed grade cargo from a Belgium based recycler, comprising of 20,000 t HMS 1&2 (75:25) and 20,000 t bonus grade at an average price of $252.5/t CFR Turkey. The said deal puts HMS 1&2 (80:20) price from Belgium/Benelux origin at $ 251/t CFR Turkey, and at $ 255/t CFR from Baltic origin and $ 257/t CFR from US origin.
* Prior to this, earlier this week, a major USA based recycler sold a 27,500/t composite cargo to an Osmaniye based mill in Turkey, comprising of 4,000t HMS 1&2 (80:20) at 261/t, 14,000 t Shredded at 266/t and 9,500t P&S at 271/t CFR Turkey.
Although the latest deal from Belgium puts USA origin prices further below, however most USA suppliers are currently not willing to conclude bookings at below 260/t CFR price level for HMS (80:20), in the light of higher price achieved in this week's booking from US, and are trying to keep offers at this level.
Before the latest bookings this week, the last trades included US origin cargoes getting sold at $267/t CFR Turkey for HMS 1&2 (80:20), in the 1st half of last week.
On normalizing the latest deals, SteelMint's assessment for USA origin HMS 1&2 (80:20) at $ 258/t CFR Turkey, down by $8-9/t against last week's sale price and inching down by $3-5/t against yesterday's assessment. Assessment from Europe origin stands at $251-252/t CFR Turkey.
Market expects that Turkish buyers will remain slow in terms of making fresh bookings in the coming days, putting pressure on suppliers and prices in order to pull down the offers from sellers.
