Hot rolled coil (HRC) producers in Turkey remain at their price positions of last week, taking into account that they are pretty much sold out for November production and that some market fundamentals are still strong. In addition, prices in the EU continue to climb, supporting the Turkish mills.
In the local Turkish market, HRC offers for December deliveries vary within $530-545/mt ex-works depending on the mill. Buyers, who have mainly restocked earlier, have taken a step back to evaluate the situation. Traders, in the meantime, are trying to destock and report that demand in the retail market is not so great. Sources say the mills have started to offer for December deliveries, but some limited November volumes are still available. Export prices are in the range of $530-540/mt FOB. “If EU HRC keeps climbing, Turkey has more chances to sell,” a trader said.
China’s downturn has not yet been reflected in the Turkish HRC market, although it certainly affects buyers’ moods and expectations. “In order for Asian sellers to become aggressive in our region, China has to really collapse. I don’t see that happening for now,” a trader told SteelOrbis.