Crude steel production in Turkey increased by 21.2 percent year on year in December last year to 3.2 million mt, due to resumption of plants after earthquake, the decrease in energy costs and the capacity increase of approximately six million mt, according to a statement released by the Turkish Steel Producers’ Association (TCUD). The country maintained its seventh place in terms of global crude steel production. In 2023, Turkey produced 33.7 million mt of crude steel, down by four percent year on year.
In December, Turkey’s finished steel consumption rose by five percent to three million mt, while in the whole year the country’s finished steel consumption increased by 17.1 percent to 38.1 million mt, both year on year.
In December, Turkey’s steel exports increased by 32.6 percent to 1.1 million mt, while the value of these exports rose by eight percent to $798.9 million, year on year. In 2023, the country’s steel exports decreased by 30.6 percent to 10.5 million mt, while the value of these exports fell by 40.7 percent to $8.3 billion, both year on year.
In the given month, Turkey’s steel imports decreased by 15.3 percent to one million mt, while the value of the imports moved down by 21.6 percent to $895.3 million, both year on year. In the whole year, the country’s steel imports increased by 15.5 percent to 17.1 million mt, while their value fell by 6.1 percent to $14.6 billion, both year on year.
In 2023, Turkey’s steel export to import ratio decreased to 56.6 percent, from 89.6 percent recorded in the same period of the previous year.
According to the association, Turkey’s crude steel production, which decreased by 16.3 percent in the first half of the year, increased by 10.4 percent year on year in the second half of the year, reaching 17.8 million mt. Considering the temporary protection measure imposed on wire rod imports as an important step in terms of reducing steel product imports and encouraging local production, TCUD stated that imposing similar measures against subsidized and dumped imports of other steel products in the new year will contribute to the sustainability of the sector and support local production. The association predicts that the increase in local demand will continue in 2024, so consumption will support the investments that were commissioned in the second half of the previous year.
In addition, TCUD believes that the crisis in the Red Sea, increasing freight prices and geopolitical risks may negatively affect Turkey’s export markets, especially in regions where conflicts are intense, such as Yemen. Therefore, considering the EU’s safeguard measures and possible duties within the scope of the Carbon Border Adjustment Mechanism, efforts to increase the export share in developing alternative markets such as North Africa have gained importance.