- Turkish steel producers continue to book deep-sea scrap at progressively higher prices through the week
- US East Coast market activity increased after new sales to Turkey
- Vietnamese scrap demand was supported by a surge in billet bookings to China
- Taiwanese mills turned their focus to Japan-origin cargoes
- India prices remained firm on tight supply
Turkish steel mills continued to purchase deep-sea scrap cargoes
during the past seven days, with prices rising as the week progressed.
Mills in Turkey booked five deep sea cargoes during the week, from the Baltic Sea and from the US East Coast.
Scrap prices in Turkey were supported by higher rebar prices, together with stronger prices in the Chinese ferrous markets, sources said.
“I think prices will remain firm as long as the Chinese market holds strong,” a senior executive with a major Turkish steel mill said. “Iron ore, pig iron, billet and slab prices should not go below their current levels.”
Sources also cited higher freight costs as a reason for the elevated prices. Fastmarkets heard freight costs of $13-14 per tonne for scrap in bulk from the United Kingdom to Turkey on Thursday July 16, up from $11 per tonne one month before for a 30,000-tonne bulk shipment.
steel scrap HMS 1&2 (80:20 mix), Northern Europe origin, cfr Turkey
steel scrap HMS 1&2 (80:20), US origin, cfr Turkey
The US East Coast ferrous scrap export market showed renewed signs of life this past week following the new bookings to Turkey, with export prices remaining largely stable
compared with previous sales prices. Recyclers in some East Coast regions have reduced yard buying prices following a drop in domestic scrap prices in July’s monthly trade.
steel scrap HMS 1&2 (80:20), export index, fob New York
steel scrap shredded scrap, export index, fob New York
steel scrap, HMS 1&2 (80:20), export index, fob Los Angeles
Vietnam continued to purchase Japan-origin imported scrap cargoes
over the week, with some domestic steelmakers sourcing the raw materials to produce steel billet for hungry Chinese buyers.
steel scrap, HMS 1&2 (80:20), cfr Vietnam
Import prices for containerized ferrous scrap in Taiwan appeared to hit a ceiling this past week
because buyers have started to try to secure more competitive material from Japan instead of from the US.
steel scrap, HMS 1&2 (80:20 mix), US material import, cfr main port Taiwan
Prices of scrap imported into India inched upward on tight supply
, with South Africa and the United Arab Emirates both subject to temporary export bans, meaning that less material was available on the market.
steel scrap, shredded, index, import, cfr Nhava Sheva, India