The domestic hot-rolled coil (HRC) producers in Turkey continue maintaining their local and export offers, despite facing rather low trading activity, particularly in the overseas markets. In the meantime, Turkish buyers have opted to book rather significant volumes from abroad as they have managed to push for discounts.
Local Turkish HRC prices are still at $660-690/mt ex-works and up to $700/mt ex-works in indications voiced by some producers. Limited volumes were traded at $660/mt ex-works last week, but generally buyers are said to be insisting on $650/mt ex-works as the highest deal price level. As regards exports, business activity is minimal, particularly in European destinations. Small orders are coming from North Africa, but no deals have been reported. Turkish HRC export offers are indicative at $670-700/mt FOB.
In the import segment, the business activity has been livelier, particularly because buyers opted to deal for ex-Asia volumes. Around 15,000-20,000 mt have been recently booked to Turkey from South Korea at $620-625/mt CFR, $20-25/mt down from the offers last week. “There is antidumping for Korean hot-rolled but it is subject to the inward processing regime. So, if they export, they don’t pay the tax, but they have to give a performance bond equal to the antidumping duty amount to customs,” a trader told SteelOrbis. In addition, according to sources, an ex-India HRC lot was booked by a Turkey-based re-roller at $615/mt CFR. Russia has also returned to the market with offers for end of October-November production and has managed to sell small lots at $615-620/mt CFR recently.
