SteelOrbis talked to Mert Öztaş, board member at Mert Çelik, about the latest developments in the specialty steel sector and expectations for the coming period.
Can you tell us about your activities and product range?
At the center of our activities is a solution-oriented supplier approach that can be integrated into the production processes of our customers in specialty steel. As an integrated steel service center with a focus on specialty steel, we carry out distributorship, representation and dealership activities in all alloy steel grades. We offer high stock capacity, quality diversity, wholesale, cutting and heat treatment coordination services.
In addition, we produce value-added steels for many strategic sectors such as automotive and machinery manufacturing, automotive and automotive sub-industry, machinery manufacturing, mold and tool manufacturing, energy equipment and defense industry with special cross-section, narrow tolerance and high surface quality cold drawing, peeling and grinding processes in our bright steel production facility.
Our product range is shaped in line with the needs of industries that require high specifications. In these areas, we aim to be a business partner that adds value to our customers' supply chain with not only product supply but also deadline reliability, traceability, batch-based quality continuity and digitalized processes.
With our involvement in the process as the second generation, we focus on addressing the issues of operational efficiency, green and digital transformation, export-oriented growth and transition to value-added products with a more systematic, measurable and long-term perspective.
How do you assess the current conditions in terms of demand and price trends in the specialty steel industry?
Unfortunately, there has been a fluctuating trend on the demand side for the last two years. While there is relative stability in the automotive and defense industry, there is a cautious stagnation in the general manufacturing industry. The fluctuation is mostly on the customer side, where purchasing behavior oscillates between "not being caught with stocks, cautious buying" and "the risk of being caught with high prices". In short, demand in the sector is highly selective depending on the global economic outlook and the investment appetite in the main industries.
Prices are under pressure and short-term movements depend on raw material costs, energy and financing conditions. Domestically, prices are heavily affected by the volatility in energy and financing costs.
We are in a period when globalization has been put on the back burner, tariff wars and protectionism are at the highest level, and local growth is of utmost importance.
Therefore, sustainable competition in this environment is made possible by efficiency and the ability to generate added value rather than scale.
In this environment, we look at the sum of signals such as order flow, deadlines, quality and origin alternatives, energy outlook, etc., rather than a single indicator. Consequently, rather than giving numerical forecasts, I think an approach that keeps the operation flexible and provides continuity to the customer is more accurate.
In which specialty steel groups are we still dependent on imports and which investments are critical to reduce this dependency?
In our country, foreign dependency is still very evident in some segments, especially in high-alloy steel grades, micro-alloyed steel grades, steel grades requiring high purity, and stainless steel where process discipline is very strict.
In order to reduce this dependency, the critical issue is not capacity, but investments in high process capability. Specialty steel production requires an ecosystem that starts from melting, vacuum and secondary metallurgy level, and extends to precision rolling, heat treatment, surface quality, dimensional stability, NDT certification and digital traceability.
At our scale, we act in a way that supports higher value-added products. In all our processes, we are increasing our focus on improving quality infrastructure and investing in digital processes.
How do you evaluate the competition in export markets?
Competition is quite high. European and Asian manufacturers offer price and capacity advantages. But Turkish companies maintain their competitive edge with flexibility, fast delivery times, technical support and customer-oriented solutions.
On the one hand, the increase in protectionism on a global scale (quotas, antidumping processes, additional taxes) limits the flexibility of exporters. A sustainable strategy in this environment requires product-customer-market diversification and moving towards value-added segments without being dependent on a single market.
Competition in exports has shifted from "price competition" to "harmony and trust" competition. Buyers in Europe make carbon data, supply chain transparency and regulatory compliance as much a purchasing criterion as quality and deadlines. Therefore, the way to increase competitiveness is to strengthen the axis of decarbonization, digitalization and traceability while maintaining product standards.
What changes do geopolitical developments around the world cause in trade?
Geopolitical risks shorten supply chains and increase regionalization. Logistics costs and delivery times come to the fore, while the concept of a reliable supplier can override price. Geopolitical developments bring about a period of restructuring of supply chains in global trade. As the regionalization trend increases, reliability, traceability and supply continuity are becoming central to commercial decisions.
Supply from nearby geographies is becoming more valuable. This creates opportunities for countries with high production capabilities such as Turkey. Trade barriers and compliance costs are not periodic, but a structural reality.
In this new order, we believe that we will gain competitive advantage not only through price, but also through stable quality, regulatory compliance and rapid adaptation.
How do the current economic conditions affect your operations?
The most significant impact of economic conditions is on access to financing, the cost of financing, exchange rate pressure and working capital management.
Our priority for 2026 is "Capital Discipline"
We aim to reduce the pressure of economic conditions on ourselves by managing stocks with the right product-right speed approach, establishing a planning and contracted sales scheme that will increase predictability in customer demands, focusing on operational efficiency, cash flow management and value-added products.
How will the Carbon Border Adjustment Mechanism affect high-skill steel exports? What is on your decarbonization roadmap?
For manufacturers working for the European market, the situation has become clear: carbon data is no longer a "reporting" but a commercial parameter. If the supplier does not have measurement, verification and traceability, market access is at risk, regardless of price competition. For this reason, traceable production with a low carbon footprint is no longer a choice but a necessity.
In this context, we have put energy efficiency investments, renewable energy use, digital carbon monitoring systems and low-carbon supply chain creation efforts at the center of our roadmap.
Our approach is measurable and sustainable steps, energy efficiency and process optimization. Together with the supply chain, we are working on improving traceability and data infrastructure, standardizing the carbon and monitoring metrics demanded by the customer, and optimizing logistics.
How was 2025 and what are your expectations for 2026?
2025 was a year characterized by caution, cost and financing pressures. In terms of the sector, we experienced 2025 as a year in which demand changed frequently periodically, cost and trade barriers were more determinant, and customers were more selective.
In 2026, mechanisms such as protectionism, quotas, tax wars and CBAM will determine market access. Green and digital transformation, carbon transparency, traceability and energy efficiency will be the new standards of competition.
The growth of strategic sectors, the acceleration of the defense industry and high-tech production will bring a stronger demand for high quality in specialty steel.
Our company, which ranks first in the sector with its quality image, will continue to make a difference in 2026 with our product preparation, production-processing capabilities, our ongoing digital processes and sustainability steps. I wish you a productive and good year.