Despite the weakness of domestic demand, Turkish steel producers' export hot rolled coil (HRC) orders have picked up due to strong demand from export markets, especially from Europe. As a result, Turkish steel producers have increased their domestic HRC quotations by $20/mt on the lower end week on week to $540-550/mt ex-works. Market sources state that the rises seen in global raw material prices have provided support for the upward movement of domestic HRC quotations and that the uptrend of HRC prices in Turkey is expected to continue if demand from the export markets stays strong.
In the local Turkish HRC spot market, buyers have maintained their cautious stance due to the ongoing uncertainties in the country and are still making purchases only to meet their immediate needs. Market sources report that inventory levels of traders have declined as they have concluded a limited number of purchases over a long time. Although Turkish traders are expected to try to increase their HRC spot prices before buying in HRC at increased price levels from steel producers, no change has been observed in traders' spot prices over the past week.
The domestic sales prices of traders for local and imported hot rolled flat steel products in the Eregli and Gebze regions of Turkey are as follows:
Product | Price ($/mt) | |
Eregli | Gebze | |
2-12 mm HRC | 540-550 | 550-570 |
1.5 mm HRS | 580-590 | 595-615 |
2-12 mm HRC (for large tonnages) | 530-540 | |
3-12 mm HR P&O | 570-580 | 590-620 |