The Europe-Asia ferrous scrap arbitrage could open once again with falling prices in Turkey prompting suppliers to look for alternative markets.
Suppliers have increased the quantities of ferrous scrap available to steel mills in Vietnam and Taiwan, causing offers to drop by $5-10 per tonne.Offers for Europe-origin lower-quality heavy melting scrap (HMS) 1&2 came in at $335 per tonne cfr Vietnam, while offers for Australia-origin HMS 1&2 (80:20) were at $340 per tonne cfr Vietnam. A deal was done at $330-332 per tonne cfr Vietnam last weekend for a 40,000-tonne cargo of lower-grade European HMS 1&2 (65:35) scrap."Given this transaction, negotiations should center on...