Nikel Paslanmaz Çelik Sanayi ve Ticaret A.Ş., one of Turkey’s leading stainless steel service centers and exporters, is preparing to increase its production capacity and strengthen its global presence through three major investments totaling more than $150 million.
Three major investments planned
As part of its investment program, Nikel Paslanmaz plans to build an integrated stainless steel bar production facility in Ferizli, Sakarya, with an investment value of around $100 million and commissioning targeted for the end of 2028. The company also aims to launch a 40,000-50,000 mt capacity flat stainless steel cold rolling mill in Dilovası by the end of 2027, with an investment of approximately $50 million.
Abroad, Nikel Paslanmaz will establish a 50,000 mt capacity stainless steel service center in the Manchester/Burnley region of the UK with an investment of around $4 million. The company, which already operates warehouses and sales teams in the UK, Azerbaijan, Kazakhstan and North Macedonia, also plans to expand its service center network in these regions.
Integrated stainless steel production seen as strategic necessity
Company board member Kemal Yalgın stated that integrated stainless steel production has become a strategic necessity for Turkey, which currently imports around 700,000 mt of stainless steel annually and ranks among the world’s major stainless steel-consuming countries. He noted that, once domestic consumption approaches 1 million mt, the establishment of an integrated stainless steel facility in Turkey would become more economically viable, although such a project would require broad cooperation among major industry players.
Commenting on trade measures, Yalgın said the 12 percent customs duty on stainless steel raw materials already creates a significant cost burden for industrial users, while additional antidumping measures further weaken the competitiveness of sectors such as white goods and industrial kitchen equipment. He added that removing customs duties would be the ideal scenario for Turkish manufacturers.
Alternative markets gain importance as Europe’s share declines
Yalgın said the company has made strong progress in stainless steel welded pipe and profile production, helping reduce Turkey’s import dependence while also exporting surplus output. As European quotas and tariff barriers have reduced the share of Europe in the company’s exports from 80 percent to around 20 percent, Nikel Paslanmaz is increasingly focusing on alternative markets including the Balkans, North Africa, South America, the US and West Africa.
Despite high financing costs, rising labor expenses and increased freight rates, Yalgın emphasized that the company will continue investing, stating that maintaining investment momentum is essential for long-term competitiveness.
