At the SteelOrbis Italy annual event held on September 29 at Villa Fenaroli Palace Hotel in Rezzato in Brescia, Murat Eryilmaz, CEO of SteelOrbis, focused on the role of Turkish steel in the international markets.
Based on the data reported by Mr. Eryilmaz, Turkish crude steel production, of which electric arc furnace (EAF) accounts for 72 percent, has been growing steadily for several years (except for the decline recorded in 2009) and this year should reach 33 million mt. This production obviously requires a large availability of scrap, iron ore and coking coal, that is raw materials that Turkey is forced to import. Accordingly, it is no coincidence that Turkey is the largest importer of scrap in the world, followed by China and South Korea.
According to data presented by the SteelOrbis, over the next five years Turkey's GDP will grow by an average of five percent per annum. During the same period, the domestic construction industry should increase by an average of 13.6 percent annually, thanks to an investment of $89 billion in the sector. However, the Turkish output of long steel products - especially of rebar - far exceeds consumption, and that is why Turkey is a major exporter of rebar. After peaking in 2008, exports of rebar from Turkey have been decreasing over the past three years, while wire rod exports have generally remained stable. Nevertheless, the country aims to become stronger and stronger as exporter in the Mediterranean area. According to Mr. Eryilmaz, it will be difficult to return to the levels of 2007-2008 but not impossible.