Re-rollers in Turkey have failed to reflect the price increase for coated steel in deals as the demand for the products, especially domestic demand, remains extremely low. As a result, the suppliers have been forced to drop their offers by $10-20/mt depending on the material type. “As we expected, demand has affected prices once again and we have seen new price drops in the market. We know there are still further discounts in Turkish HRC and coated steel prices for real buyers and we think that under these circumstances discounts will be seen for a long time,” a reroller told SteelOrbis.
Producers’ positions are being further undermined by the high level of stocks in the market, which puts buyers in a more advantageous position. “We could not ease stocks, because buyers only want to buy in small tonnages for their urgent needs. With high stock levels, it is not possible to see a real price increase, because buyers know we have the material and they exert great pressure on prices,” a seller said.
On the export side, prices have decreased a little bit sharper than in the local market. The key reason is that a couple of mills have been able to attract some orders from Europe over the past two weeks, but in order to close deals low prices had to be granted. According to sources, some lots have been booked at $530-540/mt FOB base to Antwerp, Spain and Italy, while some insiders believe several deals were transacted at as low as $520/mt FOB.
Turkish domestic prices (ex-works) |
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Product |
Price ($/mt) |
Weekly change ($/mt) |
HDG 0.50 mm 100gr/m² |
560-580 |
-20/-10 |
HDG 1 mm 100gr/m² |
540-550 |
-20 |
HDG 2 mm 100gr/m² |
490-510 |
-20 |
PPGI RAL 9002 0.3 mm 100 gr/m² |
700-730 |
-20 |
PPGI RAL 9002 0.5 mm 100 gr/m² |
640-660 |
-20 |
PPGI RAL 9002 1 mm 100 gr/m² |
620-630 |
-20 |
Turkish export quotations (FOB) |
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Product |
Price ($/mt) |
Weekly change ($/mt) |
HDG 0.50 mm 100gr/m² |
530-540 |
-30 |
PPGI RAL 9002 0.5 mm 100 gr/m² |
620-640 |
-30 |