Turkish rebar producers are attempting to increase their longs prices amid the ongoing currency fluctuations and the possible rise in the energy prices in September. However, international buyers are insisting on further discounts, partly due to the weaker scrap prices in the most recent deal. In the Turkish domestic market, however, the higher price levels for rebar announced in the past week have been accepted.
Ex-Turkey rebar offers are available at $580/mt FOB for September-October shipment versus $570-580/mt before and a few mills are offering at slightly higher levels.
Local Turkish domestic rebar prices vary at $590-600/mt ex-works, versus $590/mt over the past week. Most Marmara mills are offering rebar at $590-600/mt ex-works, including Icdas A.S. Sources report around 6,000 mt of rebar at $590/mt ex-works were traded in the Marmara region yesterday, August 22. One Iskenderun-based mill has issued its rebar price at TRY 19,250/mt ($590/mt) ex-works today, with an exchange rate of $1 = TRY 27.21. In addition, Kardemir succeeded in selling 20,000-25,000 mt of rebar at $595/mt ex-works with its advantageous payment terms earlier today. The Turkish Central Bank will issue its interest rate decision tomorrow and most observers believe that interest rates may be increased further.
In the wire rod segment, Turkish offers are standing at $590-600/mt FOB for September-October shipment, rising by $10/mt over the past week, while the higher end does not seem achievable so far. In the Turkish domestic wire rod market, the general price range varies at $590-605/mt ex-works in line with export prices, versus $570-605/mt a week ago. However, most buyers are still checking import wire rod prices due to the aggressive import pricing policies.