Turkey: Prices inch up in recent bulk-scrap cargo bookings

After remaining slow for the last few weeks, imported scrap market of Tukey regained activity with a flurry of new bookings getting conformed today. Turkish steelmakers are now actively inquiring for fresh deep-sea cargoes from US as well as European origins. The market is expecting more deals to get concluded later this week at incrementally increasing prices, with global offers to other major markets likely to follow the uptrend.

• Among the latest bookings, a major USA West Coast recycler sold 2 cargoes to Turkish steel mills. In the first deal to an Osmanye based steelmaker, a mixed scrap cargo comprising of HMS 1&2 (80:20) and shredded scrap was sold at $ 257/t and $262/t CFR Turkey respectively, for August shipment.
  
  
• The second deal by the same US supplier included a composite cargo being sold to another steel mill in Mediterranean region, comprising of HMS 1&2 (80:20) at $258/t CFR and bonus scrap at $268/t CFR Turkey.
  
  
• Another US East coast recycler recently sold a 31,000t mixed grade bulk cargo to a major Western Marmara region-based mill, consisting of 19,000t HMS 1&2 (80:20) at $256/t, 10,000t shredded scrap at $261/t and 2,000t bonus (P&S) at $266/t CFR Turkey.
  
  

Prior to this, SteelMint had reported 2 USA origin cargoes near the end of last week, getting closed at slightly decreased prices, with HMS 1&2 (80:20) price in the deals ranging between $253-255/t CFR Turkey in the two deals.

On normalizing the latest deals, SteelMint's assessment for USA origin HMS 1&2 (80:20) now stands at $258/t CFR Turkey, up by $4/t against closing of last week, while assessment for European origin HMS 1&2 (80:20) stands at $252/t CFR.

Not only have the prices moved up in the recent deals, but the fresh offers from prime sources in USA are now being quoted at $260/t CFR Turkey and above, for HMS 1&2 (80:20), as per reliable industry sources, while the Turkish mills may not be able to resist the hike significantly, given their restocking necessities for August shipment and the slow buying activities since latter half of June'20. Although, the slow Turkish finished steel sentiments will prevent any sharp price hike in near term.