Following a period of low offers, price negotiations and some reported transactions for Chinese hot rolled coil (HRC) in Turkey, traders have increased their prices slightly over the past week. However, the rise is not quite enough to create any positive mood in Turkey and so buyers are still cautiously watching market developments.
Currently, most large traders are offering Chinese Q195 HRC to Turkey at $533-535/mt CFR for 40,000-45,000 mt lots, while $530/mt CFR is also considered possible. As of last Friday, the offers for similar lots stood at $525/mt CFR for September shipments. According to sources, one lot was booked by a re-roller in the second half of July at $528/mt CFR, followed by another deal at around $520-525/mt CFR. Other sources report one more deal might have been done at slightly below $520/mt CFR in the middle of last week, but the information has not been confirmed by the time of publication.
In the domestic market, HRC prices in Turkey are mainly at $580-585/mt ex-works base in official offers, with $570-575/mt ex-works still considered possible, though the pressure coming from Chinese suppliers has weakened. “The import price rise is not yet sustainable to support a local price increase. But the mills, which have short maintenance works scheduled for September, are already voicing $585-590/mt ex-works indications for some buyers,” a trader told SteelOrbis.
