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| Ferrous scrap market |
Turkey containerised scrap market entry marks a structural shift in global ferrous scrap trade flows. Turkey has begun importing containerised HMS 1/2 scrap from the United Kingdom. The initiative was led by Stelaris Resources, executing deliveries into Iskenderun.
The Turkey containerised scrap market entry introduces a new procurement channel for the world’s largest seaborne scrap importer. Initial cargoes were supplied by UK-based Mellor Metals and Glazewing. Traditionally, Turkey sourced around 80% of imports via bulk carriers from Europe and the United States. However, containerised scrap had been largely reserved for South Asian markets such as India and Bangladesh.
Strategic Flexibility Drives Turkish Mills’ Adoption
Turkish mills are leveraging container logistics to enhance procurement precision and flexibility. Containerised shipments allow targeted purchases of specific scrap grades and smaller volumes. As a result, mills can optimize melt mixes and respond quickly to price signals.
Moreover, the Turkey containerised scrap market entry enables access to suppliers previously excluded by bulk freight economics. Inland mills without deepwater port access gain direct delivery advantages. Therefore, this model reduces logistical constraints and broadens sourcing geography.
Meanwhile, declining Asian demand and shifting freight economics have accelerated this transition. Suppliers now redirect cargoes from South Asia toward Turkey, improving arbitrage opportunities. Consequently, global scrap trade flows are becoming more dynamic and competitive.
Global Supply Tightness Amplifies Market Impact
The timing of the Turkey containerised scrap market entry coincides with tightening global scrap availability. South Asia has lost approximately 2 million tonnes per year of Middle East Gulf supply due to regional disruptions. Therefore, alternative buyers like Turkey are absorbing displaced volumes.
In parallel, Turkey’s total scrap imports declined by 7% in 2025 to 18.67 million tonnes. This decline increases the importance of flexible sourcing strategies. Meanwhile, Turkish mills are diversifying metallic inputs, including direct-reduced iron and pig iron.
Hot-briquetted iron imports nearly tripled year-on-year in January to 313,000 tonnes. Pig iron imports also rose to 2.3 million tonnes in 2025. As a result, Turkey is actively managing raw material risks amid volatile scrap supply conditions.
ScrapInsight Commentary
Turkey’s shift toward containerised scrap will likely increase pricing transparency and arbitrage across regions. Short-term, this supports scrap price resilience amid constrained supply. Long-term, it may accelerate fragmentation and specialization in global scrap logistics.
