Posted on 05 Nov 2025
Turkish mills’ demand for scrap remains active. However, they are seen refraining from aggressive purchases as falling imported billet prices are drawing their interest, while scrap suppliers continue to eye higher values.
US suppliers are targeting at least $355/tonne cfr Türkiye for HMS 80:20, while European offers have approached $350/t cfr despite a weaker euro at $1.15. Baltic-origin offers, meanwhile, stand at above $350/t cfr.
On Tuesday, market chatter suggested an EU-origin HMS 1&2 80:20 sale at $348/t cfr, although this could not be confirmed at the time of publication.
Although Turkish mills have accelerated their scrap demand since returning from the Republic Day holiday last week, the downturn in China has made them more cautious as they continue to gauge market direction. Billet offers, which climbed to above $470/t cfr Türkiye last week, have now retreated to around $465/t cfr, with further declines seen possible amid weak fundamentals in China in the near term.
Struggling with weak steel sales and thin margins on scrap-based production, Turkish mills are inclined to prefer billet over scrap once prices fall below $460/t cfr. This would be similar to levels seen during the previous round of billet purchases two weeks ago.
A mill tells Kallanish: “I can see that Türkiye’s return to the scrap market has excited suppliers, prompting them to raise price targets. But these higher expectations are unlikely to materialise. They will eventually have to lower prices as demand in other markets is not strong either.”
A supplier, however, expects new bookings to settle at $350-352/t cfr from the EU and $355-357/t cfr from the US.
A second supplier says: “The downturn in China has dampened Turkish mills’ appetite for scrap. Besides, with market confidence lacking, no one wants to be the first to pay higher scrap prices.”
Meanwhile, some Baltic and short-sea suppliers are reportedly seeking shipment extensions due to ongoing vessel availability issues. Fresh short-sea scrap offers are heard to have climbed to over $340/t cfr Türkiye. Turkish mills, however, do not find short-sea prices workable and are seeking to maximise supply from the local market.
In Türkiye’s domestic rebar market, some mills continued to increase their prices on Tuesday. However, demand remains unsupportive of higher levels and limited to buyers’ urgent needs. Buyers lack confidence in the market and are thus avoiding replenishing their stocks. Rebar prices stood at $540-560/t ex-works on Tuesday.
Source:Kallanish
