Almost all Turkish mills have decreased domestic scrap buying prices since last week, Kallanish notes. 

Imported scrap prices, on the other hand, are seen fluctuating in a narrow range and remaining firm.

The latest imported bookings were heard last week at $655/tonne cfr Turkey from the Baltic and the US, and $645/t cfr from the EU for HMS 1&2 80:20.

A US supplier is heard targeting to sell its HMS 1&2 80:20 at $665-670/t cfr. For shredded, however, US suppliers are seen targeting to sell at above $700/t cfr.

One US merchant tells Kallanish: “Mexico is buying shredded at above $700/t cfr. A lower price in Turkey is not workable.” Another source, referring to last week’s US sale at $655/t cfr for HMS 1&2 80:20 and shredded at $675/t cfr, believes however that Turkey can still buy shredded at below $700/t cfr.

Although there are rumours of a US-origin scrap sale at around $700/t cfr, this has been denied by Turkish mills.

In the Benelux on Wednesday, dock prices stood mostly at €505-510/t ($555-561) in Belgium and €515-525/t delivered in the Netherlands.

Market players believe that scrap prices will not fall but do not find a sharp rise likely either. "There are no high-volume rebar sales,” says a trader. “Most buyers find Turkey's prices too high. On the other hand, the domestic market is dead and natural gas prices are expected to rise in April. Turkey cannot afford a higher price for scrap.”

In the domestic rebar market, mills' offers are at above $950/t ex-works. As demand has remained weak, some stockists have however decreased their prices to $875/t.

Shipbreaking scrap prices, meanwhile, remained unchanged in the range of $630-640/t delivered, although some mills have revised their prices. The lira was at 14.85 per dollar at business close on Wednesday.

Source: company information