The upward trend in the global scrap market continues

Supply and Demand Balance Supports Prices

According to market sources, several key factors have contributed to rising prices in the global scrap trade. The increasing import demand from Turkish steel producers has been a significant factor supporting scrap prices from the U.S. and Europe. Similarly, importers in Asian markets such as Vietnam and Bangladesh have also increased their purchases.

The euro, which retreated from the 1.09 level, has been under pressure due to Russia's rejection of Ukraine's ceasefire terms, the German Parliament's failure to reach an agreement on increasing debt spending, and the impact of newly proposed tariffs.

Meanwhile, as local producers and suppliers in the U.S. and Europe work to maintain balance, fluctuations in supply and supplier strategies have directly impacted market prices, pushing them higher. Additionally, the limited supply from countries like Russia and Ukraine has further contributed to the price increase.

Global Scrap Market Maintains Upward Trend

Scrap prices in the global market continue their upward trajectory. In the first half of March, increases were observed, particularly in scrap prices from the U.S. and Europe. The recovery in demand from major importing countries has been one of the key factors supporting this rise. While mills aim to keep prices stable or increase them by $20-30/gt, the final pricing is expected to be shaped by supply and demand dynamics.

Türkiye’s Imported Scrap Prices Continue to Rise

Türkiye’s scrap purchases began to rise at the start of February and continued their upward trend until the end of the month. Scrap prices, which started March at stable levels, showed signs of an increase in the second week. While there are discussions that offers may decrease due to existing tariffs, it is also speculated that the U.S. will push for HMS scrap sales to Türkiye at around $390/t. However, if domestic finished steel prices do not show a similar increase in demand and pricing, the sustainability of the current scrap price rise remains uncertain.

Based on Türkiye’s latest purchases, HMS 80:20 sales from the UK to Marmara and from the Netherlands to the Aegean region were at $367/t at the beginning of March, while a later sale from the Netherlands was reported at $375/t. In the following weeks, HMS 80:20 prices from Denmark to the Aegean region ranged between $374-374.50/t, and sales from the U.S. to the Mediterranean region reached $380/t for 22,000 tons of MS 80:20 scrap. Offers for bonus and shredded scrap are reportedly around $400/t.

U.S. Northeast and East Coast Scrap Prices Increased

In March, bulk scrap prices in the Northeast region rose by $20/mt m-o-m with an increase in collection prices leading to a higher local supply.

• HMS 80:20 $354/t FOB

• HMS 80:20 $360/t CFR Vietnam

• HMS 80:20 $374/t CFR Chattogram

• HMS I Scrap $381-396/mt (local)

• Shredded Scrap $412-422/mt (local)

• P&S Grade Scrap $381-391/mt (local)

• Busheling Scrap $437-457/mt (Pittsburgh, local)

India’s Import Prices from the UK and Europe Increased

• Shredded Scrap $375-380/t CFR
• HMS 80:20 $355-360/t CFR

While local steel producers’ stock levels have partially improved, the expansion of supply has prevented excessive price hikes. Analysts anticipate that, given current market dynamics, the short-term upward trend in scrap prices may continue. However, macroeconomic factors such as China’s steel production quotas and global economic developments remain critical influences on the market. Meanwhile, trade policies and tariffs under the Trump administration continue to impact the import-export balance, creating uncertainty in the scrap market.