Despite the previous week's favorable expectations and slight improvements in the hot rolled coil (HRC) segment and in business activities, flat steel traders in Turkey have decided to keep their prices stable again because of the ongoing currency depreciation and the financial challenges in the domestic market.
“Our pricing has been the same for two weeks and demand has declined and will continue to decline as the holiday approaches. The majority of clients complain about banks not providing loans being the cause of the low demand,” a trader told SteelOrbis.
However, as a consequence of the limited demand along with concerns that the approaching holiday will reduce trading even more, most traders have consented to provide some discounts to serious consumers. At the same time, others believe that, after the holiday, demand and economic issues will be alleviated slightly by new economic decisions by the government.
“The demand in the market is very poor, but I hope that, if the banking policies are loosen after the holiday, movement will begin,” a trader told SteelOrbis.
Currently, domestic hot rolled sheet prices have remained stable week on week at $730-770/mt ex-warehouse. Similarly, in the cold rolled sheet market prices have remained stable over the past week, with the majority of traders reporting pricing at about $800-850/mt ex-warehouse.
