Davis Index’s northern Spain HMS 1&2 (80:20) and shredded small bulk ferrous scrap indices declined by €10/mt ($12/mt) to €345/mt and €355/mt cfr, respectively on Friday.
Iberian ferrous scrap import prices dropped back €10/mt over the past week, largely tracking developments in major deepsea trade routes, particularly to Turkey.
For example, Turkish HMS 1&2 (80:20) import prices have scaled back by $17.50/mt in the past week to $447/mt cfr Turkey on Mar 11.
Shortsea small bulk coaster freight rates of €30-40/mt continue to be a bane for Spanish-based buyers, as it prices them out of the market.
Davis Index’s UK small bulk ferrous scrap HMS 1&2 (80:20) and shredded indices increased by €9/mt to €320/mt and €330/mt fob, respectively, during the week.
With rumors of new deals to Turkey struck at approximately $435/mt there may be some further downside risk albeit temporarily, as the world enters the quarter of peak steel demand.
(€1 = $1.19)