China’s long-awaited return from its holiday has not yet brought the expected clarity to flats pricing in the Turkish market. Some traders have started voicing offers similar to the pre-holiday levels, but this is considered as just “fishing” in the market, while most Chinese mills, according to sources, are yet to announce firm price levels. Other flats suppliers in Turkey’s market, including domestic suppliers, prefer to evaluate the market situation, citing rather low trading activity.
The first post-holiday HRC price indications from China to Turkey have been reported at $508-510/mt CFR, similar to late January levels, with cargoes available for March shipment. Some sources have reported lower levels, but, overall, the pricing is not considered to be firm and market players are mainly expecting to see a clearer situation and trend starting from next week. “Before offering, I need to understand the workable level and I think before Monday this is not possible,” an alternative HRC supplier told SteelOrbis.
Aside from China, Egypt is testing the market with $540/mt CFR for March shipment cargoes of HRC, while the latest deals were closed at slightly above $550/mt CFR. Ex-Russia HRC offers are not yet firm and the non-sanctioned material, according to Turkish buyers, should be on offer at around $520/mt CFR, versus $510/mt CFR in previous sales. A sanctioned Russian mill is expected to concentrate on North Africa, with offers at up to $505-510/mt CFR for March production HRC.
In the domestic market in Turkey, not much change in prices has been seen yet. HRC for March deliveries is mainly offered at $550-560/mt ex-works, with $540-545/mt ex-works considered possible for large buyers. As regards exports, Turkey is offering at $530-540/mt FOB as per realistic prices currently.
Turkey’s CRC local prices are still indicatively at $670-700/mt ex-works and at $630-650/mt FOB for export. In the meantime, HDG 0.5 mm Z100 material is available at $760-790/mt ex-works locally and at $720-740/mt FOB for export. Local and export commercial grade PPGI offers are at $920-960/mt ex-works and $900-925/mt FOB, respectively.