Over the past week, demand in the local Turkish stainless steel market has remained slack. Due to the high volatility of the Turkish lira against the US dollar and due to the negative economic situation in Turkey, Turkish buyers are finding it difficult to gain a clear outlook for the coming period.
Meanwhile, Turkish stainless steel producers’ production costs have continued to increase in the given period due to the ongoing upward movement of nickel prices. However, the producers are unlikely to increase their prices amid the weak demand situation. On January 10, global cash nickel prices cash nickel prices at the London Metal Exchange (LME) closed the day at $11,225/mt, while Turkish producers’ prices of 304 grade 2B stainless steel CRC are at $2,400-2,500/mt ex-works and prices of 430 grade 2B stainless steel CRC are at $1,400-1,500/mt ex-works, both indicating sideways movement as compared to the levels in SteelOrbis’ report published last week.