SteelOrbis has been informed by market sources that local producers’ price levels in the Turkish domestic market for 6-7 mm mesh quality wire rod are as follows:
|
Region |
Price ($/mt) |
Price change ($/mt) |
|
|
19.03.2019 |
|||
|
Marmara |
525-535 |
↓ |
5 |
|
Thrace |
530-540 |
↓ |
5 |
|
Izmir |
530-550 |
0 |
|
|
Iskenderun |
530-540 |
0 |
|
The above prices, which are on actual weight basis, exclude VAT and are on ex-works basis. The offers may differ depending on buyers and order sizes.
It is observed today, March 26, that domestic wire rod prices in Turkey have decreased by $5/mt on the lower end week on week to $525-550/mt ex-works as compared to the price levels in SteelOrbis’ report published on March 19.
With the Turkish lira sharply losing strength against the US dollar on Friday, March 22, for the purpose of concluding transactions some steel mills decided to peg the Turkish lira-US dollar exchange rate temporarily at fixed levels in negotiations with customers and concluded sales on Turkish lira basis. Prices in these sales decreased to levels equal to $515/mt ex-works on dollar basis in line with the real currency rate. This pricing strategy gained acceptance in the market and transactions for large tonnages were concluded.
The general opinion in the local Turkish wire rod market for the period following the local elections on March 31 is that the Turkish lira will once again depreciate sharply against the US dollar, and so domestic purchases are continuing today as the lira has strengthened slightly.