Buyers in the local Turkish hot rolled coil (HRC) market have continued their purchases only in line with their needs over the past week, while demand in the market has remained at low levels.
However, the general opinion in the market has changed and many players believe that no functional limitation on imports has been implemented by Turkey’s decision to impose import quotas as well as a 25 percent duty for tonnages in excess of the quotas because imports from developing countries cannot be restricted by the rules of the International Trade Union, and also due to the exemption of the import products purchased within the scope of Turkey’s inward processing regime (under this scheme mills have to give a commitment to export the finished products they produce from imported billet). As a result, buyers in the local Turkish HRC market have once again increased their pressure on prices.
Turkish steel mills have offered reductions in prices in concluding actual sales over the past week, and so domestic HRC prices have declined by $15/mt week on week to $570-580/mt ex-works.
In the meantime, traders in the Turkish HRC market have kept their prices stable over the past week, despite the weakness of demand, since they have high-cost products in their inventories. Domestic sales prices of traders for local HRC in Turkey’s Eregli and Gebze regions are at the following levels:
|
Product |
Price ($/mt) |
|
|
Eregli |
Gebze |
|
|
2-12 mm HRC |
595-605 |
605-615 |
|
1.5 mm HRS |
635-645 |
650-670 |
|
2-12 mm HRC (for large tonnages) |
|
585-595 |
|
3-12 mm HR P&O |
625-635 |
665-675 |