The current week has so far been quiet in Turkey’s HRC market mainly due to the absence of China, whose offers have more impact on flat steel pricing in Turkey compared even to the lately positive import scrap price trend. Following the holiday, China has returned with slightly lower offers, which are closer to the market reality. In the meantime, local Turkish HRC prices have been relatively stable with a slight tendency to weaken, while as regards exports the focus is on the EU’s announcement of safeguard measures and on CBAM uncertainties.
Import HRC offers from China for Q195 3 mm and up material have settled at $497-503/mt CFR, for November shipments. Some rare bids have been reported at $493-495/mt CFR, but overall buyers are in the mood to wait and see.
Offers from Russia have settled at $480-485/mt CFR for sanctioned material and $500-505/mt CFR for non-sanctioned material, both for December shipment, indicating a decline of around $10/mt from the previous round of sales. “Something closer to $490-495/mt CFR might work, but then again Russian HRC is the only origin to be delivered with minimal risks and far faster than from Asia,” a trading source told SteelOrbis.
Offers from Malaysia have been reported at $545-550/mt CFR for early December shipments, with no transactions closed yet. An Egyptian mill is still indicating $545/mt CFR Turkey for end-of-November and early December shipments, in line with the latest medium-sized deals.
Local HRC prices in Turkey are at $535-550/mt ex-works, practically in line with the end of last week, but the lower end of the range is valid for medium-size and large lots. In the meantime, export offers from Turkey are at $540-550/mt FOB, up by around $5/mt over the past week, but mainly indicative. “EU business is very unclear and buyers are very hesitant in view of the upcoming CBAM and the tariff system adjustments. Turkey still has a geographical advantage and being partially based on EAFs and scrap. But there is also AD tax for Turkey and all of it makes things complicated,” a source told SteelOrbis.