In the past week, prices in the Turkish domestic flat steel market have continued to trend sideways, while demand has remained quiet in general. In the meantime, amid the belief that flat steel prices in Turkey have already hit bottom and will now start to rise, a slight revival is also observed in the market.
Flat steel prices in Turkey are expected to switch to an upward trend, considering the continuing increases in scrap prices, the flat steel demand revival seen in some countries, the recent halt of price declines in several markets and the price increases announced by European mills.
However, for now Turkish steel producers' hot rolled coil (HRC) domestic offers are standing at $620-630/mt, while their local cold rolled coil (CRC) offers are at $740-750/mt, both ex-works and for January rolling. Nevertheless, some deals are being concluded below these price ranges for larger orders.
In the Turkish domestic flat steel spot market, traders are abstaining from building up inventories approaching the end of the year; however, the anticipation of increased prices is causing some increase in activity in the spot market. In the Turkish spot market, 2-12 mm HRC prices are standing at $650-670/mt, while 1-1.5 mm CRC prices are at $770-800/mt, both ex-warehouse.