Turkey: Imported scrap trade slow as mills hold back orders

The imported scrap market in Turkey remained silent this week as mills stayed away from placing fresh orders. Market activities remained slow throughout the week. SteelMint's assessment of US-origin HMS 1 & 2 (80:20) is at $470/tonne (t) CFR Turkey, inching down by around $3/t w-o-w.

SteelMint had reported the last deal, which had been concluded for Benelux-orgin HMS cargo at $465/t CFR Turkey basis, towards the middle of last week.

Mills were seen awaiting the central bank's decision on repo rate cuts which was to be announced today. In the latest update received, the rate has been left unchanged at 14%.

Market overview

• Lira rebounds against dollar: The sea-saw of the national currency against the dollar took a pause this week, with the lira currently being traded at 13.51 against 13.59 a week ago.
  
  
• Turkish players revise domestic scrap prices: Turkish steel producers kept revising domestic scrap prices. However, limited trade was witnessed. Most steel mills decreased their offers due to a slight strengthening of the lira in the second half of the week.
  
  
• Rebar offers firm: Domestic rebar prices remained firm, witnessing limited trade activity. Market players believe there is no reason for a price decrease at present, while the upward trend will depend on the demand. Domestic rebar prices in Turkey are set at $695-710/t exw, generally stable since end-December. Demand in the local markets is normal but still insufficient.
  
  

Outlook

Turkey scrap buyers would like to resume their booking soon as mills need a few more cargoes for February shipments.