According to market sources, demand in the Turkish hot rolled coil (HRC) spot market is still considered to be weak. Market sources state that buyers are postponing their HRC purchases due to ongoing political and economic uncertainties in the country and due to cash flow problems in the market. Even though traders’ HRC prices have remained stable over the past week, traders will likely reduce their offers in order to reduce their inventories in the coming period.
On the other hand, Turkish producers’ HRC prices have moved downward amid slack demand, declining by another $10/mt during the past week to $360-380/mt ex-works, against the backdrop of the pressure on prices and decreasing import HRC offers. However, Turkish producers are still offering volume discounts of $10/mt and higher, depending on buyer and tonnage.
The domestic sales prices of traders for local and imported hot rolled flat steel products in the Eregli and Gebze regions of Turkey are as follows:
Product |
Price ($/mt) |
|
Eregli |
Gebze |
|
2-12 mm HRC |
400-410 |
405-415 |
1.5 mm HRS |
440-450 |
435-445 |
2-12 mm HRC (for large volume sales) |
|
390-400 |
3-12 mm HR P&O |
450-460 |
465-470 |
The above prices are ex-warehouse and for advance payments, exclusive of 18 percent VAT