The daily Davis Index for Turkish imports of US-origin HMS 1&2 (80:20) increased by $2.71/mt to $352.66/mt cfr on Friday on fresh bookings from the Baltic region, Europe, and the UK.
Ferrous scrap purchases have shot up in Turkey amid full order books for steel products. Some mills have already started bookings for February shipment. Thus, a supplier from Latvia sold HMS 1&2 (80:20) at $350.50/mt cfr and bonus material at $360.50/mt cfr to an Izmir-based mill. The cargo will amount to 25,000mt and is due to be shipped before February 10, 2021.
An Iskenderun-based integrated steel mill closed a deal with a European recycler at $346/mt cfr for 8,000mt of HMS 1&2 (80:20), $360/mt cfr for 15,000mt of shredded scrap, and $356/mt cfr for 4,000mt of bonus material for January shipment. The price for shredded scrap was higher than that for bonus material due to a shortage in the former for Turkish mills. Demand for this grade rose significantly as mills are trying to increase production to their full capacities amid buoyant steel product sales.
An Izmir-based mill purchased HMS 1&2 (80:20) at $350/mt cfr from the UK.
US ferrous scrap suppliers finally resumed negotiations with Turkish mills and some deals are expected soon. Offers were heard at around $360/mt cfr for HMS 1&2 (80:20), while bids from steelmakers were at around $350/mt cfr.
The daily domestic spot rebar prices in Turkey increased by TRY10-30/mt ($1-4/mt) to TRY4,850-4,890/mt ex-works, including 18pc VAT, on Friday, but the daily exported rebar prices rose by $10/mt to $520-525/mt fob with some offers up to $535/mt fob.
($1 = TRY7.81)