The prices announced last week by Russian mills MMK and Severstal indicated a rise of around $25/mt compared to last month; however, the prices have not yet been accepted by the market. Actual sales are expected to be concluded following the new prices to be announced by Ukrainian steel mills.
The new prices announced by MMK and Severstal are presented in the table below. Moreover, in line with the announcement by Severstal, cold rolled exports will be limited.
Producer |
Delivery term |
Shipment |
||
$650/mt |
$700/mt |
CFR FO Turkey |
November |
|
$665/mt |
$735/mt |
CFR FO Turkey |
December |
Bulgarian steelmaker Kremikovtzi is offering hot rolled sheets at $650-655/mt CIF FO Turkey for November shipments. On the other hand, the producer is offering hot rolled coils at $635/mt CIF FO Turkey, also for November shipments. The prices indicate a rise of $10-15/mt as compared to previous weeks.
Romanian steelmaker Mittal Steel Galati production hot rolled coils were being offered at a base price of $595/mt CFR Turkey last month; however, the producer may hike its prices in line with the rising flats market.
Although the hot rolled coil price of Ukrainian mill Ilyich for November shipments is not clear yet, the offer at the level of $585/mt CFR Turkey - which was given to the Turkish market last week- has not gained much interest. The prices to be announced by Ilyich in the coming weeks are expected to be higher than last week's offer. The reaction of end-users towards the new prices will gain clarity in the weeks ahead.
Doubtlessly, one of the most important current issues is whether the major sellers in the local Turkish market will hike their prices or not. End-users will base their attitude to the rising prices on the move the major sellers decide to make. If the major sellers appear in the market with price hikes, then the rising global market conditions will be welcomed more positively by the local Turkish market.