Hot rolled coil (HRC) prices in Turkey have continued to trend up, marking another sizeable increase by the end of the current week, to the surprise of most market players. Local mills have increased their domestic offers, following some sales at the previously announced levels. In the meantime, CIS-based producers have taken advantage of the situation and increased their offer prices for June production.
Domestic HRC offers in Turkey have increased to $1,020-1,050/mt ex-works by the end of the week, up by around $30/mt compared to the previous official levels. According to sources, some re-rollers have booked at $985-1,000/mt ex-works and maybe slightly above this week, most probably after having actively sold HDG for export. This week, the deal prices for HDG exports have reportedly been at $1,280-1,300/mt FOB base, with a further increase in offers to $1,330-1,335/mt FOB.
In the import segment, Russia’s MMK is officially offering at $970/mt FOB or $1,000/mt CFR, taking into account freight and some additional expenses. Ukraine’s Metinvest, according to sources, has been offering $1,000/mt CFR and $1,010-1,015/mt CFR depending on the coil weight. Last week, the workable levels for ex-CIS HRC in Turkey were at $960-965/mt CFR.