Turkey political woes hit US scrap export market

Early last week, there were two cargoes sold to Turkey from US-based export terminals. The price of these two cargoes ranged from $380-381 per metric ton (mt) CFR for HMS 80/20, with a component of shredded at a $20/mt premium.

Later in the week, Turkish mills procured three cargoes from Northern Europe at the usual discount to US cargoes of $5-6/mt.

This resulted in a sales price of $375/mt CFR for HMS 80/20. In addition to this European buy, a cargo from the US was sold at $382/mt CFR for HMS 85/15 on Friday.

On the US West Coast, the bulk scrap market in South Asia revived after over two months of inactivity from West Coast facilities.

Steelmakers in Bangladesh came in for two cargoes of HMS 80/20 at prices averaging $383/mt CFR. The container market in Taiwan has been lackluster and has weakened somewhat despite recent upturns in the US domestic market.

There are still low-priced billets available in the Far Eastern markets and this is depressing imported scrap.

There are various trade restriction proposals by the US that can possibly affect international shipping in the months ahead.

Some issues that could affect the market include potential blanket tariffs on Mexico and Canada, reciprocal tariffs on numerous countries, increased port fees on Chinese-built vessels, as well as new 25% tariffs on users of Venezuelan oil announced on Monday.