The demand levels in southern Europe's merchant bar market are still maintaining their weak trend. In addition, due to the continued strength of semi-finished prices in southern Europe, the decrease in scrap prices has not been reflected in the merchant bar prices in the region.
In the past week, 140 mm and below sized merchant bars have been offered at the price range of TRY 1,645-1,750/mt ex-works excluding VAT. It is heard that traders with previously taken positions have been offering at lower price levels.
On the Turkish merchant bar export side, it can be said that prices have softened slightly. However, demand has still been experiencing difficult times. In particular, offers from China to the Middle East at low price levels continue to be observed.
Meanwhile, Turkish rolling mills have in the past week been offering angles for export at $1,380-1,400/mt FOB on actual weight basis for August shipments. In addition, flat bars have been offered at $1,390-1,410/mt FOB, 80-100-120 mm IPE has been offered at $1,430-1,450/mt FOB, IPN-UPN have been offered at $1,390-1,410/mt FOB and 80-100-120 mm IPE AA has been offered at $1,440-1,460/mt FOB - all on actual weight basis and also for August shipments.
On the Turkish import market side, it is heard that 200-400 mm H-profiles have been offered from Italy to Turkey at the price level of €1,050/mt ($1,666/mt) CFR Turkey.
Turning to the Romanian domestic merchant bar market, it is heard that small and medium size merchant bars have been offered to the local market in the past week at price levels of €820-850/mt ($1,281-1,328/mt) ex-works, excluding VAT, indicating no change since the previous week.
It is heard that the price levels of small and medium size merchant bars in the UAE market have in the past week experienced a softening trend. In the local UAE market, small and medium size merchant bars have been offered in the past week at the price range of AED 4,800-5,000/mt ($1,307-1.361/mt) on theoretical weight basis.
Meanwhile, in the past week local production small and medium size merchant bars in the local British market have been offered at €890-900/mt ($1,413-1,429/mt) ex-works, excluding VAT, on actual weight basis with 60-day deferred payment.
Looking at the Spanish and Italian domestic markets, a continuing slackness in demand has been observed in the past week. One of the main reasons behind the decrease in merchant bar demand in Spain is the slowness in the construction sector in this country. It also reported that stock levels in both countries - Spain and Italy - are at considerably high levels.