Calm reigns in Turkish stainless steel market

The Turkish stainless steel market is in a calm state with the approach of the New Year. A very limited number of sales have been concluded in the market. Meanwhile, the tendency towards the Chinese market for pipes, pipe fittings and bars - as an expected result of the US Dollar/Euro exchange rate changes and the higher prices of European-origin materials - has started to show itself with respect to stainless steel coils as well. Many firms have moved to conclude bookings of stainless steel coil and plate from China and have brought samples from there for trial. The extent of this tendency is so big that most firms – which have not concluded any bookings outside of Europe over many years - have now started to book from China. While Acerinox production 304 series second quality stainless steel coils of 2 mm thickness are being booked at $4,300-4,400/ton in Turkey, the sales price of Arcelor production 304 series prime quality stainless steels of 2 mm thickness is at $5,160/ton in the Turkish market. According to reports received, some bookings from China have been concluded below the $4,000/mt level. However, interviews made with most firms have given us the impression that major part of the market is now scrutinizing the samples from China with a view to forming an accurate idea regarding the quality of these products. China is already dominant in the pipe industry and India in the bar industry. It is thought that prices will be increased over the coming weeks. It is also being predicted that the producers will hike their alloy surcharges in January and February, and that these extras will cause an increase in the base prices as well. In addition to the current high-level prices, the reports regarding possible price hikes approaching the New Year, along with the slowdown in the European market, have naturally resulted in a situation of calm in the Turkish stainless steel market.