Business activity in Turkey’s import billet market has been slow this week since many mills had restocked earlier and are now evaluating the situation. Smaller buyers have decided to buy billet from the domestic market, where one of the main suppliers has provided a small discount.
Turkish integrated producer Kardemir has opened new billet sales in the domestic market, with a $5/mt discount compared to last week. The new offers stand at $535/mt ex-works for S235JR grade, while B420 grade is available at $550/mt ex-works. The supplier has managed to trade 32,000 mt of billet, while its sales are still open. “Kardemir opened at a price of $509.85/mt ex-works for prompt shipment, considering discounts for cash payment and orders for a minimum of 10,000 mt,” a local market player commented, adding that the option of buying from Kardemir is clearly more advantageous for small buyers in Turkey as compared to the available imports.
In the import segment, according to the latest reports, ex-Indonesia billet is on offer at $505/mt CFR, with some reporting a level $5/mt lower is also possible, similar to last week’s indications. The latest prices for ex-China billet have been at $495-500/mt CFR, up $5/mt from last Friday. No fresh serious negotiations have been heard since many Turkish mills had restocked heavily earlier. The latest reported price from Malaysia stood at $515/mt CFR.
Ex-Russia and ex-Donbass billet offers to the Black Sea region of Turkey have been reported at $495-500/mt CFR for shipments in the near future, with no deals reported. The SteelOrbis daily reference price for ex-Russia billet has decreased by $5/mt over the past week to $470-475/mt FOB.
Ex-Iran billet offers to the Karabuk region have been at $510-520/mt CPT, but, according to some buyers, these levels are not workable for Iranian origin billet. “Larger mills restocked from Asia, some from Ukraine, but smaller buyers have not many options except Kardemir, and small lots from the Black Sea and Iran. But price levels have to be more favorable,” a local market source told SteelOrbis.