Downtrend of domestic rebar prices in Turkey gains momentum

The local Turkish rebar market had entered the new year with quiet trading activity, while prices had moved downwards. Last week, expectations of further declines in domestic rebar prices in Turkey had gained strength due to the weakness of demand and the depreciation of the US dollar against Turkish lira. Due to these factors, Turkish buyers have continued to postpone their bookings, while market players have been waiting to gain a clear picture of the impact of the cancelation of the import duty on rebar. Late last week, a Turkish buyer was heard to have concluded an ex-Ukraine deal for nearly 6,000 mt of rebar at a price level which is considered to be on the low side. This situation increased the uncertainty in the market and buyers have continued to adopt a cautious stance towards new bookings. Also, import rebar prices have moved downwards in other deals concluded late last week.

As a result, the downtrend in the local Turkish rebar market has accelerated and prices have declined by $10-30/mt as compared to the SteelOrbis report published on January 4. Meanwhile, Turkish producer Icdas has decreased its prices by TRY 42/mt + VAT as compared to its previous price list issued on December 14, while due to currency fluctuations its prices have increased by $4/mt on US dollar basis. Currently, Isdas’ 12-32 mm rebar prices in the Marmara region are now at TRY 2,195/mt ($587/mt) + VAT ex-works, while its rebar prices in Biga, Canakkale in northwestern Turkey are at TRY 2,170/mt ($580/mt) + VAT ex-works.

As of today, January 8, traders’ rebar offers in the Turkish domestic market are as follows:

All prices are exwarehouse and on actual weight basis and exclude VAT.

$1 = TRY 3.74