Traders in the local Turkish hot rolled coil (HRC) market have decreased their offers by $10/mt on the lower end as compared to last week, except for hot rolled pickled and oiled coils (HR P&O), amid continuing quiet market activity. Market sources state that the downtrend in prices is due to the lack of the expected improvement in trading activity and the weak demand situation.
During the past week, contrary to local traders, Turkish steel producers have preferred to increase their HRC offers despite the slack demand. Their HRC offers for the local market have increased by $5/mt on the upper end to $510-530/mt ex-works, for February production. Market sources state that the price increases by Turkish steel producers were aimed at boosting activity in the local market, but in fact increased the interest of local HRC buyers in ex-CIS and Chinese offers, which are currently at $450-460/mt CFR and $440/mt FOB respectively.
The domestic sales prices of traders for local and imported hot rolled flat steel products in the Eregli and Gebze regions of Turkey are as follows:
Product |
Price ($/mt) |
|
Eregli |
Gebze |
|
2-12 mm HRC |
530-550 |
535-555 |
1.5 mm HRS |
560-580 |
565-585 |
2-12 mm HRC (for large volume sales) |
520-540 |
|
3-12 mm HR P&O |
580-600 |
595-610 |
The above prices are ex-warehouse and for advance payments, exclusive of 18 percent VAT.