Demand subdued in Turkish stainless steel market, prices stable

This week, import stainless flat steel offers to Turkey have remained stable as nickel prices have trended sideways during March. However, transaction activity is still weak despite the sideways price movement. Traditionally, demand and prices decline after the January-February period, when demand is stronger and prices are higher. Although this year prices have not been higher and prices have not been stronger as compared to last year, the transaction volume is still expected to decrease beginning in April.
 
Looking back at 2012, in the first quarter last year Far Eastern origin 2 mm 304/2B cold rolled stainless coil offers to Turkey had exceeded the price level of $3,000/mt CFR, while prices had decreased to $2,700/mt CFR by April last year.  In the meantime, Turkey's stainless flat steel imports had the reached highest monthly level of 2012 in May with 40,334 mt, mostly due to transactions concluded in February and March.
 
In the past week, Far Eastern origin prime quality 2 mm 304/2B cold rolled stainless coil offers to Turkey have remained stable at $2,700-2,850/mt CFR. Chinese and Taiwanese stockers' prices occupy the lower end of the price range. In the meantime, prices for new production materials are $100-150/mt higher as compared to the abovementioned price range. As SteelOrbis previously reported, Chinese steel producers TISCO and Baosteel have reduced their stainless cold rolled coil export prices to $2,700-750/mt FOB for March.
 
On the other hand, nickel prices on the London Metal Exchange were at $16,850/mt for cash settlements on March 21, while they were higher than $17,000/mt on March 15.