Both demand and prices for coated steel improve in Turkey

Coated steel prices have started to increase in Turkey, following a certain improvement seen on the demand side. Most re-rollers have sold out most of their December production and have already started trade for January production. Some sources say that one of the key re-rollers in Turkey is currently having some issues with feedstock supplies, and so the demand for coated steel has heated up somewhat in the market. "The uptrend in coated steel demand has been mainly caused by lower supply this time. Also, high demand on the export side has created supply worries for local buyers. End-user demand is also moderate in Turkey and buyers do not want to take the risk of having insufficient stocks," a producer told SteelOrbis. "Prices started to increase yesterday and we believe we may see higher prices next week. Demand is good in both local and export markets. Supply is also low and scrap prices are strong. In this situation, higher prices are very possible," another producer told SteelOrbis.
On the export side, Turkish producers are offering for January-February production and demand is moderate. Sales are sufficient for exports and most Turkish producers are happy about this. Export demand eases the pressure on prices when local demand is bad. “Despite the second wave of Covid-19 in the EU, we continue to sell to Europe, and European buyers are willing to buy for the first quarter," another producer told SteelOrbis. Prices for the export markets have increased accordingly since last week.