The level of business activity in Turkey has remained low compared to last week as trade is still depressed by slow demand for rebar and low prices. In addition, the international freight rates are still high, affecting margins and, therefore, the activities of CIS-based billet sellers to Turkey.
In the local Turkish market, billet prices have weakened by $5-10/mt over the past week to $650-665/mt ex-works. Most suppliers are offering at $660-665/mt ex-works prices, while $10/mt lower levels have been available in the Marmara and Bartin areas. No deals have been reported this week, taking into account that mills in Turkey are having trouble selling rebar even at $680/mt ex-works.
In the import segment, offers from the CIS are at $660-670/mt CFR this week depending on the buyer, while some bids have even gone down to $645/mt CFR, SteelOrbis has learned. “The freights are killing it [the import business] and the lack of the rebar sales makes the mills reluctant to purchase billet,” a source told SteelOrbis.