Last week, Russian steel producer Magnitogorsk Iron and Steel Works (
MMK) was offering hot rolled coil (
HRC) to the export markets at $640/mt FOB. However, this price level has been found to be on the high side by buyers in export markets, particularly in the
Middle East and
North Africa. It is reported that Turkish mills' price idea for imported
HRC is $640/mt CFR. Accordingly, Russian offers are higher than Turkish mills' expectations. In early January, another Russian steel producer
Severstal was offering
HRC to Turkey at $660/mt CFR, while its cold rolled coil (
CRC) were at $750/mt CFR, both for February rolling.
On the other hand, Ukrainian
HRC and
CRC offers to Turkey have increased more than expected. In previous weeks, Turkish mills' price idea for Ukrainian
HRC offers was at $600-610/mt. SteelOrbis has learned that Ukrainian steelmaker
Zaporizhstal is now offering
HRC to the Turkish market at $620-625/mt CFR, while its export offers of
CRC are standing at $730-735/mt CFR, both for February rolling. The producer is anticipated to apply discounts up to $5-10/mt.