Import hot rolled coil (HRC) offers seem to have finally fallen to a level considered workable by some Turkish buyers. As a result, some large lots have been booked by Russian suppliers since last week. Moreover, some additional deals may follow.
Russia’s MMK has sold at least 15,000 mt of HRC to Turkey at $380/mt CFR. In addition, according to sources, NLMK has closed deals for up to 30,000 mt of HRC to Turkey within $380-390/mt CFR. Severstal has also been in negotiations with around $385-390/mt CFR reportedly being under discussion.
Pricing for Turkish origin HRC remains unclear with local mills seeking to get bids in the domestic market and avoiding giving firm offers. While some mills’ latest voiced offers were at $430/mt ex-works, some have been ready to give $410-420/mt ex-works, SteelOrbis has learned. However, business activity has remained quiet.
In the export segment, the situation has been more dynamic. While keeping official offers high, last week Turkish mills went below $400/mt FOB in order to attract customers. According to sources, some 5,000-10,000 mt lots were sold at $390-395/mt FOB to Spain, Antwerp and to some traders purchasing for their positions. However, as of today the mills are back to $410-420/mt FOB offers for exports, following a significant rise in import scrap prices.
