Some hot rolled coil (HRC) producers in Turkey have started the post-holiday week with new, higher indications for both the local and export markets. And though the buyers have not yet shown any acceptance of the new prices, the general market mood is mainly described as positive. One reason is that some mills are more or less sold out for September production, and another is the strong uptrend so far in the import scrap segment. Moreover, prices for flats in the EU increased once again at the end of the past week, adding to the positive sentiment in Turkey.
According to sources, some local Turkish offers have been voiced today for the remaining September production lots and for early October cargoes at $1,160-1,200/mt ex-works, up by $10-30/mt from the indications late last week. Similar levels have been heard for certain export offers to the EU for October shipments. Still, buyers are a bit skeptical, thinking that these levels will not be accepted immediately, although they do admit that the allocation in the market is limited.
In the import segment, the CIS-based mills seem to be mostly finished with June production sales to Turkey, with the latest deals closed by Ukraine’s Metinvest for 10,000-20,000 mt of small coils at $1,110/mt CFR, SteelOrbis has learned.
