Demand in the local Turkish
billet market is currently sluggish, while buyers are postponing their
billet purchases amid the uncertain prospects for the market given the declines seen in import scrap prices and due to the instability of import
billet quotations. On the other hand, domestic
billet prices in
Turkey have gained support from the rises recorded in ex-CIS
billet quotations and from import scrap offers which are still higher than Turkish steel producers' expectations. Accordingly, Turkish steel mills have kept their domestic
billet offers stable over the past week at $392-415/mt ex-works. Also, Kardemir is still continuing its domestic
billet sales which were opened on November 21 at $392/mt ex-works.
During the past week, Chinese
billet export quotations have fluctuated against the backdrop of the volatility of the Chinese steel futures market. Chinese
billet export prices, which were at $380-385/mt FOB on November 23, increased up to $415-420/mt FOB on November 28 and then started to decline yesterday (Nov. 29) and are currently at $405-410/mt FOB. Turkish buyers have preferred not to conclude deals for Chinese
billet for a long time now and under the current circumstances they are not expected to in the short term.
Today, November 30, market sources state that ex-CIS
billet offers to
Turkey are in the range of $400-415/mt CFR. As demand for finished steel in the local Turkish market is currently sluggish, Turkish buyers consider ex-CIS
billet offers to be on the high side and so demand for ex-CIS
billet in
Turkey is still at low levels.