Most re-rolling companies in Turkey have significantly increased their cold rolled coil (CRC) prices over the past week, trying to take advantage of the so far positive feedstock market and solid scrap deal price levels. However, market insiders believe that the newly set levels are a bit premature and have not been accepted by buyers as demand, though improved, is still far from pre-crisis levels.
Domestic CRC prices in Turkey have increased in two steps by at least $20-25/mt over the past week to $530-555/mt ex-works. However, by the end of the week some re-rollers have started offering at $570-575/mt ex-works, claiming there is almost no allocation even for August deliveries. The demand has indeed improved in the local market in Turkey since late May as industries have been gradually resuming production. However, most market insiders believe that suppliers have gone a bit too far with their indicative offers, trying to take advantage of the solid HRC pricing. “Almost everyone has sold but at not above $530-535/mt ex-works. The market is not that good and I believe the re-rollers are just fishing around,” a trader told SteelOrbis.