Last week the ongoing recovery in scrap prices paused slightly, while iron ore prices continued to strengthen.

Although some Turkish mills were still inquiring about scrap at the beginning of last week, most were seen to have taken a wait-and-see stance for their scrap purchases. After an intense period of bookings in previous weeks, Turkish mills have now seemingly focused on finished steel sales.

In the absence of buyers, there are not many suppliers in the market circulating offers. While there are only a few of these in the market, Baltic and European suppliers are heard to have offered HMS I/II 80:20 at $263-265/tonne cfr last week. However, Turkish mills, who are not willing to pay more for scrap, have kept their price ideas for the same quality unchanged at $260/t cfr.

The latest European scrap deal was concluded at $262/t cfr average price. The cargo consisted of 20,000 tonnes of HMS 1/2 75:25, 7,500t HMS 1 P&S and 5,000t busheling. As collection prices continue to trend favourably in Europe, European offers in the Turkish market are not expected to decrease in the short term.

In the short-sea scrap market, last week’s deals were concluded at $250-251/t cfr from the Adriatic, Bulgaria and Romania. Since most Russian suppliers are still out of the market, only one deal from Russia was heard at $259/t cfr Turkey for 3,000t of A3. A small-quantity cargo was also sold from Israel at $235/t cfr İskenderun.

Excluding Russia, this week’s short-sea offers stand at $253-254/t cfr.

A Turkish scrap supplier explained: “There may be offers at higher levels; I also heard some deep-sea offers at above $265/t cfr. What’s important is what levels Turkish mills will accept to pay. I observe not higher than $260/t, at least last week. I think the market will stay at current levels for a while longer.”

Some mills that have not completed December-shipment scrap purchases are expected to conclude deals soon, but on the whole not much activity is awaited in the market. Imported scrap prices into Turkey are therefore not foreseen recording significant changes.