A downtrend is being seen in the European, CIS and Turkish billet prices, just like seen in the longs and the scrap prices. Italian billet prices, which were standing at the level of €600/mt ex-works during the beginning of 36th week (September 1-7), have come down to around €550-560/mt ex-works towards the end of the week in question. The prices, which were announced in Italy early this week, failed to see acceptance by the local rolling mills, while CIS origin billets were offered to the country at the level of €730/mt CFR Italy for September shipment. The two factors have both played a great role in the current price decline.
Moving to the Turkish domestic market, the local billet prices that were standing in a price range of $780-800/mt ex-works in the past week, have maintained their previous levels during this week; however they did not see much demand from the domestic market. The expectation that the prices would mark a further decline contributed to this stagnancy. Meanwhile, the Turkish mills did not give any export offer for this week.
During the current week, CIS mills gave export offers for billet at the level of $700-710/mt FOB Russia and Ukraine; however it is heard that international traders have given offers to Turkey at far lower levels than these prices.