Turkish mills are attempting to keep their longs export offers stable, while international buyers are exerting pressure for further discounts amid the negative sentiment in the import scrap segment. As a result, most Turkish mills are either working at reduced production capacity or are carrying out maintenance works until the end of the month. Yemen and Israel are still export destinations, while a rebar sale to a Far Eastern market is rumored at $510/mt FOB on actual weight, which is irrelevant as it is close to billet prices and has also been denied by the seller.
Ex-Turkey rebar offers are still standing at $565-570/mt FOB for August shipment, stable week on week. 3,000 mt of rebar has been traded to Israel at $570/mt FOB for August shipment, while a deal for 10,000-15,000 mt of rebar has also been rumored at $565/mt FOB a week ago. So, ex-Turkey rebar offers at $565-570/mt FOB seem workable under the current market conditions. Moreover, some people say $555-560/mt FOB may be workable depending on the tonnage and the region.
In the local Turkish rebar market, the official general rebar price varies at $580-590/mt ex-works, versus $575-590/mt ex-works a week ago. Sources report additional discounts are applicable for serious buyers depending on the tonnage. One Marmara-based mill is expected to start its production by Monday, July 31. Some local traders are applying aggressive pricing policies to generate cash for their credit payments.
In the wire rod segment, a few mills are still offering wire rod at $580/mt FOB for August shipment, stable over the same period. A lot of 2,000 mt of wire has been traded at $580/mt FOB for August shipment, SteelOrbis has heard. In the local wire rod market, the general price range varies at $580-640/mt ex-works, falling by $15/mt on the lower end over the past week.