Ex-CIS billet prices increase for second consecutive week

In the current week, demand for ex-CIS billet has improved slightly, while CIS-based exporters have concluded billet sales to their target markets. Also, ex-CIS billet prices to the export markets have increased for the second consecutive week with the support of the rises seen in global scrap prices and Chinese billet export quotations. Currently, ex-CIS billet prices are at $400-410/mt FOB, increasing by $10/mt on the lower end and by $5/mt on the upper end compared to the price levels recorded last week. 
 
Ex-CIS billet offers to Turkey have moved up by an average of $7.5/mt week on week to $410-420/mt CFR. Additionally, market sources report that a Russian steelmaker has concluded a billet sale to Turkey at $400/mt FOB. On the other hand, Turkish steel producers' billet offers to their domestic market have risen by an average of $12.5/mt week on week to $410-430/mt ex-works due to their higher production costs given the upward movement seen in import scrap prices in deals concluded over the past week. As a result, it is observed that ex-CIS billet prices, which were considered to be on the high side by Turkish producers for some time, have now once again become attractive.
 
Meanwhile, CIS-based exporters' billet offers to Egypt are considered to be on the high side with demand being at low levels. Ex-CIS billet offers to the country are currently at $415/mt CFR.
 
Also, according to market sources, a Ukrainian steel producer has concluded a billet sale to Algeria at $430/mt CFR.