During the past week, demand in the local Turkish hot dip galvanized coil (HDG) market has remained slack, while prices have declined by $10-15/mt due to the weakness of demand. Although their inventories are at low levels, buyers are avoiding replenishment of their stocks due to the cautious sentiment in the market resulting from the negative economic situation in Turkey and the production halts which have started to be observed in key domestic industries, such as automotive. In the short term, Turkish buyers will likely keep their inventories at low levels and continue to make bookings only to meet their immediate needs.
Accordingly, domestic producers’ HDG prices in the local Turkish market, excluding 18 percent VAT, are at the following levels:
|
Product |
Price ($/mt) |
Weekly change ($/mt) |
|
HDG 0.50 mm 100gr/m² |
705-735 |
↓15 |
|
HDG 1 mm 100gr/m² |
650-705 |
↓10 |
|
HDG 2 mm 100gr/m² |
605-630 |
↓10 |
In the given period, inquiries for Turkish HDG in target markets have continued to be observed, though buyers have exerted pressure on prices. Turkish coated steel producers have also reduced their quotations for actual buyers in the export markets. Accordingly, Turkish HDG offers to the export markets have decreased by $15/mt week on week to $700-720/mt FOB.