Published by: Amy Hinton<>
17 Mar 2025 @ 21:23 UTC

Turkish mills have continued to accumulate US ferrous scrap cargoes from the East Coast at broadly stable prices in recent days despite diverging buy- and sell-side sentiment and initial resistance to US supplier offers, Fastmarkets heard.

Turkish importers’ bids below $370 per tonne for an 80:20 mix of No1 and No2 heavy melting scrap failed to gain traction in the week ended Friday March 14.
The line for US deep-sea ferrous exporters has held at $380 per tonne CFR and marginally above that in two such cargo deals, which emerged on Monday March 17.
Turkish mills were only able to restock approximately 60% of their raw material requirements over the period, sparking interest in cargo buys, of which approximately eight were heard offered globally.
Delays in billet deliveries from China and Association of Southeast Asian Nations (ASEAN) countries, despite preferential pricing, are further exacerbating a difficult negotiation period for Turkish mills.
Those billet prices were recently heard at $575 per tonne, which is equivalent to $340 per tonne for HMS 1&2 (80:20) — well below the current trading level of $380-382 per tonne CFR for US-origin material.
Turkish mills can secure May billet orders for June delivery despite March and April being peak pre-construction and construction season demand periods, restricting their pricing and sourcing options for raw materials.
The expected post-Ramadan onset of renewed construction activity — construction season typically begins in earnest in April — and a further 250 basis point cut to interest rates by the Turkish Central Bank, which initially led to improved market sentiment, have been offset by continually high steelmaking costs and a lack of end-use demand for rebar.
Indeed, one East Coast exporter sold a cargo comprising HMS 1&2 (95:5) and shredded scrap priced at an average of $395 per tonne CFR to a mill in southeast Turkey toward the end of the week ended March 14, it emerged on Monday.
The HMS portion of the cargo is understood to be equal to $382 per tonne CFR, according to buy-side sources, but that was not confirmed conclusively. That would put the shredded portion at $402 per tonne CFR, based on the prevailing spread of $20 per tonne between the two grades.
Another East Coast exporter sold a cargo with HMS 1&2 (80:20) priced at $380 per tonne CFR and shredded at $400 per tonne CFR to a mill in northwest Turkey, it was revealed on Monday. The date of sale is not known.
These deals follow a sale that emerged on Friday, also at $380 per tonne CFR for HMS 1&2 (80:20) and $400 per tonne CFR for shredded material, from a third East Coast seller to the same southeastern Turkish mill.
The euro remains robust, while Benelux scrap sellers have maintained offers for HMS 1&2 (80:20) at $375 per tonne CFR amid reduced flows of material, giving impetus to US exporters to hold firm in their offers.
Four US East Coast cargoes have been heard sold to Turkey in March to date, the same number recorded in the full month of February.