Turkey's scrap import price remained flat on Thursday as most deep-sea scrap exporters failed to lower their offer indicators.
Daily HMS 1/2 80:20 cfr Turkish steel scrap valuation remained unchanged at $455.50/t cfr yesterday, Argus reported.
Russian exporters can no longer drop their bid indications as they are subject to higher export duties along with higher freight rates. US-Turkey scrap freight rates increased further last week to well over $50/tonne for 30,000 tons of cargo. Baltic quay purchase prices did not fall as much as continental quay purchase prices did this week.
Port offers from exporters in the European continent started to be accepted at lower numbers yesterday morning, giving more encouragement to exporters from this region to sell to Turkey at lower prices. However, today it was thought that only continental European and UK exporters could sell for around $450/tonne cfr for HMS 1/2 80:20 grades.
Turkish producers are offering today $450/t cfr Turkey for Baltic origin HMS 1/2 80:20 and these buyers are expected to conclude deals early next week. Turkish mills do not want the scrap price to bottom out yet as export steel demand has not come into effect, and are seeking domestic sales this week to fill the gaps in their order books.
One İzmir producer in particular was aggressive on Thursday and was willing to accept offers in the $670-680/ton ex-works range. However, most Turkish producers do not currently need these local sales, especially due to expectations that overseas demand will increase soon. The lira appreciated against the US dollar yesterday afternoon as the Turkish Central Bank did not change interest rates and stockists expect to see where the balance in the exchange rate is in the coming days.
Longs demand from abroad is expected to increase from mid-August for the last three to four weeks, signaling that a Marmara producer heard yesterday selling 30,000 tons of wire rod to Europe at $810/t fob for October shipment.
Market participants in many global destinations, including Asia, expect Chinese domestic steel demand to be high in September. In addition, new rumors began to circulate today that China will impose duties on hot rolled coil exports on August 28.
Argus daily HMS 1/2 80:20 (short-sea) cif Turkey steel scrap valuation was stable at $422.50/t yesterday.
Comments
No comment yet.