Analysis
April 23, 2026
US ferrous scrap export mart seen rising
Written by Stephen Miller
The ferrous scrap export market from the US has been poised to rise further amid reluctance of their Turkish customers to increase prices beyond the recent bullish prices they paid earlier this month.
The higher freight rates coupled with stagnant prices for rebar in Europe and the Middle East are weighing on Turkish buyers.
The last confirmed price for HMS 80/20 of US-origin was $401 per metric ton (mt) CFR. This was transacted last week.
There were two European-origin cargoes concluded last week as well at $395/397/mt CFR Turkey. This week several more cargoes from Europe were confirmed at prices ranging from $400-404/mt, but nothing from the US or Canada.
The prevailing ocean freight from the US East Coast to Turkey is still stuck in the mid-to-high $40s, according to export sources.
US and Canadian domestic scrap markets appear to be holding firm into May. Consequently, there seems to be little price relief in the near term for steelmakers in Turkey, who are now considering Chinese billets.
After the last European sale at $404/mt, North American pricing should approach the $410/mt level based on the freight difference. It’s likely middle ground could be achieved with the increased flows brought on by springlike weather in the Northeast and Mid-Atlantic states, especially since the HMS is export grade and not readily consumable by domestic buyers.
SMU contacted a European-based export trader who said he does not see a chance for scrap prices to decline for shipments to Turkey or other Mediterranean destinations for May or June shipment.
He said, twice this year, buyers in Turkey booked about 75% of their needs, hoping for prices to relax and they did not. Therefore, they had to buy more to compensate in the following month which kept pressure on prices. This is where they find themselves now, again.
There are other countries interested in deep-sea scrap cargoes. The Italian steelmakers are regular buyers of Northern European and North American material. They are at a disadvantage to Turkey on logistical costs for bulk cargoes. However, they have rail and truck access to scrap from other EU members.
SMU spoke with a source in Mexico who told us there have been several cargoes of scrap transacted recently. Two cargoes containing shredded and P&S are expected to arrive Veracruz, both from Europe.
Another cargo of shredded was slated to arrive in Mazatlan on the Mexican West Coast.
The source said, “US East Coast scrap is still too expensive for Mexican mills.” Given the Turkish mills’ apprehension of booking US or Canadian cargoes, they probably feel the same way.
