Current developments in Türkiye and the global scrap market

The Latest Situation of Türkiye’s Scrap Purchases This Week

Significant scrap purchases took place in Türkiye’s scrap market this week. HMS 80:20 scrap from Europe traded at around $342.5/ton, while prices of $364/ton for 95:5 or bonus grade scrap and $339/ton for HMS 80:20 scrap were recorded from other sources.

One of the major purchases for Türkiye was a 25,000-ton shipment of HMS 80:20 scrap from Amsterdam at a price of $337/ton CFR. The loading port was Amsterdam, with the destination reported as Iskenderun UT Bay – Habaş. The material specification was Scrap SF 63, and the loading window (laycan) was planned between July 28 and August 1. The vessel is expected to set sail on August 5-6.

Additionally, an agreement was reached for 24,500-25,000 tons of HMS 80:20 and bonus grade scrap from another company at $340/ton and $360/ton CFR respectively. The material specification was Scrap SF 64, with a loading window set between August 29 and September 3, which will be narrowed to three days. The vessel is projected to depart on September 5-6.

Regional Prices in the Global Scrap Market

On the US East Coast, HMS 80:20 scrap prices hovered around $320/ton FOB, while shredded scrap prices were about $340/ton FOB. In Bangladesh, HMS 80:20 scrap from the US West Coast ranged between $340 and $345/ton CFR, with freight costs around $48-52/ton. In Vietnam, HMS 80:20 scrap offers varied between $327 and $340/ton CFR.

Prices and Demand in Asian Markets

At the Alang shipbreaking yard in India, HMS 80:20 scrap is priced at around $370/ton ex-yard. In Pakistan, fabrication steel trades at $385-389/ton CFR, fabrication scrap at $395/ton CFR, HMS scrap at $365-370/ton CFR, and shredded scrap between $370 and $391/ton CFR. Prices for galvanized scrap and PNS stand at approximately $371/ton and $366/ton CFR, respectively.

Furthermore, the attack by the Houthis on the Magic Seas vessel in the Red Sea has increased security risks in the region, causing Asian suppliers to change their routes, extending shipping times and raising insurance and freight costs. This situation may reflect as logistical challenges and cost increases in the scrap market.