In the past week, the problem of scarce supply in the local Turkish welded
pipe market has eased, since the problem of unavailability of raw materials, which had been seen in the market since April, also eased. Even though Turkish welded
pipe producers state that they do not have any problems with supply and that they are able to respond to demand, market players report that producers are still unable to provide the desired tonnages of welded pipes. The main reasons for this are the ongoing Trans-Anatolian pipeline project (TANAP) and the lively construction activity in the Turkish market amid better weather conditions.
Meanwhile, demand for Turkish welded
pipe in export markets such as the Middle East,
Europe and the US is weaker than in the Turkish domestic market.
Most offers of Turkish ERW pipes and hollow sections with 2-4 mm wall thickness made from hot rolled coil (HRC) of S235 grade as per EN 10219 are being given to the domestic market at about $550-560/mt ex-works on actual weight basis, remaining stable as compared to last week.
Turkish producers are offering ERW pipes and hollow sections made from HRC of steel grade S235 JRH as per EN 10219 to foreign customers at around $480-520/mt FOB. Water and gas ERW pipes with 20-114 mm diameter and with 2.0-4.5 mm wall thickness made to EN 10255 from S235 grade HR products are being offered for export at about $515-550/mt FOB.