The slack activity in the global iron and steel market has been reflected in the stainless steel market also. The main factors contributing to the sluggishness in Turkey's stainless steel market include softening offers from international stainless steel suppliers in line with weakening demand, cautiousness of buyers and postponement of purchases amid declining prices, payments problems due to liquidity shortages, trust issues among suppliers as regards deferred payments, economic instability, and price uncertainty due to the weakening of the euro against the US dollar.
Meanwhile, offers to Turkey for 304 2B stainless cold rolled coils (CRC) of 2 mm thickness from Europe and the Far East have indicated a decrease of $50-100/mt as compared to previous weeks and are currently standing at $2,750-2,800/mt CFR Turkey. It is believed though that, if demand does not pick up, offers may be in the range of $2,600-2,700/mt CFR in the coming weeks. However, as soon as the summer sluggishness comes to an end, steel demand is anticipated to recover in autumn as production rates revive in most industrial sectors. In line with this development, prices will be expected to rise and buyers will accelerate their import activities to keep their stocks high.