NEW YORK U.S.
export prices for bulk shipments to Turkey slipped a few
dollars this past week after almost two weeks of inactivity as
Turkish mills push for lower prices.
One U.S. exporter sold
two bulk cargoes off the East Coast at levels indicating a
$3-per-tonne drop in delivered values.
The sales were
reportedly booked Sept. 24 to Sept. 25, with one bulk cargo
carrying only shredded scrap transacted at $368 per tonne
c.i.f. Turkey and a second carrying a mix of heavy melt and
shred booked at similar price levels.
Sources said the 80/20
mix of No. 1 and No. 2 heavy melt scrap in the second cargo
sold at $363 per tonne c.i.f. Turkey, indicating a $3-per-tonne
drop from the last U.S. bulk sale to the country on Sept. 13,
which sold at $366 per tonne (
amm.com, Sept. 16).
The second cargo was
sold via a tender to a Turkish mill, which reportedly also
booked a separate bulk cargo of only bonus scrap material at
$378 per tonne from a European supplier.
Market participants in
Turkey and the United States said they expect heavy melt to
trade within a few dollars of the new $363 price level for HMS
1&2 (80:20) as Turkish mills attempt to regain some margins
lost in previous months.
"I think Turkish mills
will push for $360 per tonne as rebar export values are now at
$570 to $575 per tonne f.o.b. Turkey," one trader said.
Meanwhile, recent bulk
sales out of Britain for HMS 1&2 (80:20) at prices ranging
from $358 to $360 per tonne c.i.f. Turkey indicate that the
historical $10 premium for U.S. heavy melt over most British
heavy melt is under pressure and has declined to around $5 per
are uncertain if prices on the next cargo sales from either
continent will transact at levels that reinstate the $10