Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

The daily Davis Index for Turkish imports of US-origin HMS 1&2 (80:20) rose by $3.78/mt to $284.46/mt cfr on Thursday amid new bookings.


An Iskenderun-based integrated steel mill purchased 16,500mt of HMS 1&2 (80:20) at $285/mt cfr, 5,000mt of shredded scrap at $290/mt cfr, and 1,500mt of bonus material at $295/mt cfr from a Baltic scrap collector on August 6. 


On August 5, another Iskenderun-based mill was confirmed to have bought 15,000mt of HMS 1&2 (80:20) at $281/mt cfr, 5,000mt of bonus scrap at $291/mt cfr and 10,000mt of rails at $296/mt cfr from the UK.


A fresh transaction was also fixed in the Azov-Black Sea basin where an exporter from Russia’s Rostov-on-Don region sold 3,000mt of A3 scrap at $280/mt cfr Karadeniz.


One more deep-sea deal was reported in Turkey, but it was done last week and doesn’t reflect market reality anymore. In this deal, an exporter from the Netherlands sold HMS 1&2 (80:20) at $278/mt cfr and bonus scrap at $288/mt to an Izmir-based mill.


Demand persists in Turkey for scrap cargoes for September shipment with sellers from the USA and the Baltic region continuing to target $285-290/mt cfr for HMS 1&2 (80:20). An American supplier was heard to have offered HMS 1&2 (90:10) at $289/mt cfr.


Turkish demand lifts Asian bulk sales

Activity in the Asian bulk markets increased this week with multiple cargo sales into Vietnam and one each into Bangladesh and South Korea.


Vietnam booked an estimated three cargoes this week at a price of around $300/mt cfr for shredded scrap. One US exporter sold a cargo at $295/mt cfr for 4,000mt of HMS 1&2 (80:20), $297/mt cfr for 22,000mt shredded scrap, and $302/mt cfr for 4,000mt of P&S 5ft.


A US west coast cargo was sold to Bangladesh this week at $295/mt cfr for 8,000mt of HMS 1&2 (80:20) and $300/mt cfr for 22,000mt shredded scrap.


Earlier this week, a South Korean producer booked 10,000mt of A3 scrap from an eastern Russia supplier at $258.50/mt cfr. Though the price into Korea rose by $4.50/mt from a week earlier, low demand from the country continues to make it the weakest market for bulk sales.


Local rebar prices surge in Turkey

Daily domestic rebar spot prices increased significantly by TRY100-110/mt ($14-15/mt) across Turkey to TRY3,770-3,800/mt ex-works, including 18pc VAT on Thursday, due to a Turkish lira devaluation against US dollar. According to market participants, trading is less active this week than before.


Izmir Demir Celik raised its local rebar prices for the third time this week, increasing them by TRY50/mt ($7/mt) to TRY3,750/mt ex-works, including 18pc VAT.


Exported rebar prices in Turkey remained unchanged at $440/mt fob, but some mills continued to offer $445/mt fob.


Some billet sales were heard in the Turkish domestic market at around $420/mt ex-works this week versus $415-418/mt ex-works late last week. New offers for steel semis rose to $425/mt ex-works and higher.


($1 = TRY7.29)

Leave a Reply

Your email address will not be published.