Price sentiment among flat steel suppliers in Turkey remains bullish as the end-of-Ramadan holiday is about to begin. However, the market is expected to gain clarity after the holiday when both buyers and sellers fully resume negotiations.
As reported earlier, hot rolled coil (HRC) mills in Turkey have increased their offers by $50/mt over the past week to $1,130-1,140/mt, while some have preferred to postpone official quotations until after the holiday. In the import segment, offers from Ukraine have been voiced this week at $1,110-1,120/mt CFR, while some volume has reportedly been sold at $1,100/mt CFR. Ex-India offers have been heard at $1,150/mt CFR, with no takers just yet.
Cold rolled coil (CRC) prices in Turkey have remained stable after the big increase seen last Friday and for now they remain at $1,400-1,430/mt ex-works. In the meantime, the coated steel prices have indicated a big increase over the past week. According to sources, both local and export offers are standing at $1,450-1,480/mt ex-works base depending on the producer, up by $100-120/mt since early last week. Moreover, some mills report levels of $1,440-1,460/mt FOB are already acceptable for some European buyers. “There is simply no material and buyers pay for whatever volumes they can find,” a seller told SteelOrbis.
The positive situation in the flats market has naturally found its reflection in slab prices, although negotiations with the CIS have been slow this week due to the holiday period. Turkish buyers report indicative offers have been voiced at up to $980-1,000/mt CFR, versus $945-955/mt CFR offered last week. Some supplying sources estimate the workable level for ex-CIS slabs as $950/mt FOB, with estimated freight of $20-25/mt to Turkey. In the meantime, last week some deals at $920/mt FOB were reportedly closed to European destinations.