Strong Turkish demand continues to drive the scrap market in the EU. Although local European mills continue to exert downward pressure on prices as a result of the bearish EU steel market, Turkey is preventing prices from dropping.

Current dock prices in the Benelux region remain unchanged since last week at €195-200/tonne ($218-224/t) delivered, Kallanish notes.

A Benelux scrap supplier tells Kallanish: “Prices have stabilised. We haven’t seen further increases last week. But I still have a positive sentiment over the next weeks, I expect prices to remain strong.”

Another scrap supplier, on the contrary, says: “Turkish demand is the driving factor in price increases. If Turkey backs off, there is no support from anywhere else.”

Turkish mills booked numerous EU-origin scrap cargoes last week. The HMS 1&2 80:20 price, which stood at $255-256/t cfr the previous week, increased to $263/t cfr last week.

Although there is a rumour of a UK-origin HMS 80:20 sale at $264/t cfr Turkey, it is yet to be confirmed. European suppliers’ current offers to the Turkish market stand at above $265/t cfr.

No significant improvement was observed in other EU-scrap importing countries. Only a small vessel of shredded scrap was heard sold in India at $292/t cfr.

Kallanish has increased its weekly Rotterdam HMS 80:20 export price assessment from $243-246.5/t last week to $247-251/t fob Rotterdam on 15 June. The weekly Benelux dock price assessment remains unchanged at €195-200/t delivered.