Ex-Turkey rebar offers increase despite limited demand

The upward trend of raw material prices has continued to provide support for increases in Turkish billet and rebar export prices. Although the US dollar has weakened against the Turkish lira, rebar prices in the Turkish domestic market have maintained their strength at previous levels, while rebar export offers have registered increases this week. In the export markets, where prices are in general standing in a very wide range, ex-Turkey rebar offers have moved up by $15/mt week on week to $610-630/mt FOB, amid increases in raw material prices and growing expectations for these increases to continue in the short term. However, the increased rebar prices have been facing limited demand in the export market. Apart from some transactions for small tonnages to Iraq at current price levels, no new deals have been heard in the export market so far.
 
For now, it seems difficult for Turkish mills to conclude deals in North Africa and the Middle East at their current price levels. Moreover, with the strengthening of the US dollar again the euro, ex-Europe offers may put downward pressure on Turkish export offers in the short term.