After the scrap deals concluded last week, the uncertainty in Turkey's scrap market continues to be seen, while the lack of demand for finished steel products is still evident in the current week. While there have been different points of view regarding the reasons for the CIS billet price uptrend, in general it is said that Turkish producers' billet purchase activity has been supporting the CIS billet prices.
While CIS billet prices for export were at $390-395/mt FOB early this week, prices have been in a range of $395-405/mt FOB during the rest of the week. As is known, Turkish producers last week bought ex-CIS billet at $400-405/mt CFR. However, market players are not sure whether this uptrend will last longer.
It will be clearer in the upcoming days that whether or not the Turkish producers' billet export offers at $400-405/mt FOB will follow the abovementioned upwards trend in CİS billet prices. On the other hand, billet prices in the Turkish domestic market are currently at $405-410/mt ex-works/ex-warehouse excluding VAT.
It will be clearer in the upcoming days whether or not the Turkish producers' current billet export offers at $400-405/mt FOB will follow the abovementioned upward trend in CIS billet prices. On the other hand, billet prices in the Turkish domestic market are currently at $405-410/mt ex-works/ex-warehouse excluding VAT.
In conclusion, market players think that the developments in finished steel demand in the coming period will determine the fate of the uptrend in billet prices.