Posted on 25 Aug 2025
Activity in the Turkish scrap market remained subdued throughout last week, as mills halted purchases amid almost non-existent demand for rebar and were forced to lower offers.
At the same time, scrap availability gradually increased, providing some respite for mills but adding pressure on prices.
Although the oversupply weighed on the market, most suppliers attempted to hold their levels. Freight costs, however, became a key factor last week, surging sharply and restricting suppliers’ ability to reduce prices. Freight from the US East Coast is now reported at $42/tonne.
Some US suppliers were heard targeting $346–347/t cfr Türkiye for HMS 1&2 80:20, while European suppliers sought $342–345/t cfr. A few offers from the EU and UK were reported below $340/t cfr.
Although Benelux dock prices remained unchanged at €250–255/t ($292-298/t), the weakening of the euro to $1.16 on Friday was supportive of Turkish mills who are not willing to pay above $340/t cfr for EU-origin HMS 1&2 80:20.
Market chatter suggested a Danish sale at $342/t cfr on Friday, but the seller denied this, stating no willingness to sell at that level.
In parallel, Egyptian demand was more visible, with one mill opening a tender early last week and another following on Friday, both attracting numerous offers in the absence of Indian and Turkish buyers.
Amid rangebound prices in China, Chinese billet offers remain unattractive for Turkish mills as a substitute for scrap. Despite this, Turkish mills’ scrap requirements are not expected to improve due to lower utilisation.
Meanwhile, Turkish steel sales showed no signs of recovery, particularly for rebars. Mills were compelled to cut prices or extend payment terms, with rebar offers standing at $530–545/t ex-works by Friday.
Kallanish assessment for HMS 1&2 80:20 cfr Türkiye stood at $345/t on Friday, unchanged from a day earlier.
Source:Kallanish
