NEW YORK Three U.S. bulk ferrous scrap cargoes sold to Turkey and a few more out of Europe kept export prices elevated and continued the flood of material into Turkey.
Turkish mills have booked nearly 70 bulk cargoes, or 3 million tonnes, since the beginning of July, all slated to arrive between August and mid-September. Ten of those cargoes were booked this past week.
Market participants reported three sales out of the U.S. East Coasttwo booked on Aug. 15 and one on Aug. 13.
One mixed cargo reportedly was sold at $380 per tonne c.f.r. Turkey for 18,000 tonnes of an 80/20 mix of No. 1 and No. 2 heavy melt, $385 per tonne for 14,000 tonnes of shred and $390 per tonne for 8,000 tonnes of plate and structural scrap.
A second mixed cargo of similar volumes reportedly was sold at similar price levels, while the third cargo sold at similar prices but only for about 20,000 tonnes, attracting higher freight costs.
Sources said they expect prices to hover around current levels for at least the next two weeks as the market wades through industry data to determine the next direction.
A buyer for one producer in Turkey told AMM it is unlikely mills will support any price increases on raw materials, as sales of some finished products have hit a rough patch due to the socioeconomic environment in key consumer markets such as Egypt.
"Export sales are bad now for long products. I am not expecting any more increases on scrap," he said.
A second source said that this past weeks sales from the United States were pretty close to achievable peaks. "Turkey wants to get over $600 per tonne (on long product sales) but they cant get it yet. I dont expect much to change in the next two weeks. They have bought around 3 million tonnes since July. Thats a lot of tonnes, even for them," he said.
British scrap exporters enjoyed a good week, with at least three bulk cargoes reportedly sold to different Turkish mills.
One cargo reportedly was sold at $375 per tonne for 18,000 tonnes of HMS 1&2 (80:20) and $392 per tonne for 18,000 tonnes of plate and structural scrap, while two other cargoes were sold at around $371 per tonne for HMS 1&2 (80:20).
Sources also reported a bulk cargo sale out of Belgium Aug. 15 of 10,000 tonnes of No. 1 HMS, 5,000 tonnes of shred and 25,000 tonnes of HMS 1&2 (75:25) at an average price of $373 per tonne.
A second cargo from the same region also was booked Aug. 15 at $385 per tonne for 30,000 tonnes of shred.