Prices have increased by $10-20/mt since last week in the Turkish flat steel spot market, while demand has recovered. The main support for the price increases came from lower stock levels, according to sources. "Mills’ prices have been strong since mid-summer, but traders have failed to reflect these increases in their offers because of low demand. Traders have ordered only minimum tonnages in the past months and this caused lower stocks in the spot market," a trader told SteelOrbis.
The tight availability in the market has also caused somewhat livelier demand. Buyers have accelerated their purchases because the levels of stocks are not expected to improve much anytime soon. Since early July this year, HRC ex-works prices have increased by around 21 percent and HRC spot prices have risen by 17 percent for spot HRC. "Producer prices and spot prices are at the same levels in the Turkish flat market and it is not possible to carry out stock renewal at the moment. End-users already think prices are high in the market and we do not believe we could sell at higher prices in the coming period. The Turkish lira-US dollar rate has also increased a lot and most traders want to stay in cash instead of renewing stock," another trader told SteelOrbis.
Since last week, local spot prices have increased by $10/mt for HRC and hot rolled pickled and oiled materials and by $20/mt for CRC.
Product |
Price ($/mt) |
|
Ereğli |
Gebze |
|
2-12 mm HRC |
540-570 |
550-570 |
1.5 mm HRS |
570-600 |
580-610 |
3-12 mm HR P&O |
580-600 |
590-610 |
0.6 mm CRC |
660-670 |
660-680 |
0.7-2 mm CRC |
620-630 |
620-640 |